NetObjects, MyComputer.com Exchange Vows
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e-Business solutions and services provider NetObjects Inc. Wednesday snagged Orem, Utah-based MyComputer.com Inc for about $51 million in cash and stock.
NetObjects has made an additional $6 million in common stock shares contingent on future performance of MyComputer. NetObjects also agreed to advance MyComputer $2 million.
MyComputer is an application service provider (ASP) specializing in integrated Web site management services. It currently has more than one million members. NetObjects pursued the ASP in an effort to expand its online service business and create a strong partner-based distribution model.
"We believe that the acquisition of MyComputer will make NetObjects the industry's leading provider of online services for small businesses," said Samir Arora, chairman and chief executive officer of NetObjects. "Together, our Web site building solutions and online services create a much more powerful solution for our partners that want to reach the small business market."
NetObjects said the MyComputer staff and operations will remain in Utah and MyComputer CEO and Co-Founder Josh James will serve as an executive vice president of NetObjects and general manager of MyComputer. John Pestana, president and co-founder of MyComputer will serve as a vice president of NetObjects and MyComputer.