Donuts raises $110mn to complete $213mn Rightside merger
Donuts, the leading web domain company, has raised a $110mn credit facility from Silicon Valley Bank (SVB).
The funding will allow the Washington-based firm to complete its merger with rival Rightside, a deal set to be worth $213mn.
Once the formalities have been completed, Donuts will be able to offer a number of high-end domains such as .email, .guru, .social and .business.
SVB has been helping businesses for over 30 years and operates a number of innovation centres around the globe.
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“We are delighted to partner with Silicon Valley Bank and are gratified by the enthusiastic response from co-lenders,” said Donuts chief executive officer, Bruce Jaffe.
“SVB understands deeply our business and our industry and did a terrific job in forming a syndicate of leading institutions. This financing will help to fuel our growth, as we focus on helping individuals and organizations to transform their online branding capabilities.”
Donuts’ merger with Rightside was revealed in June and at the time Rightside’s CEO Taryn Naidu emphasised the benefits of the partnership.
“We believe that this agreement offers a substantial cash premium to our shareholders,” he said. “We look forward to working closely with Donuts to consummate this merger.”