GoDaddy Inc. (NYSE: GDDY), a cloud platform dedicated to small, independent ventures, is to acquire Main Street Hub, a social media engagement platform provider, for approximately $175m.
The transaction, which includes $125m in cash plus up to $50m in potential future earnouts, has been approved by the GoDaddy board of directors and is expected to close late in the second quarter of 2018, subject to customary regulatory and other closing requirements.
Led by co-CEOs and co-founders Matt Stuart and Andrew Allison, who will join GoDaddy in leadership positions within GoDaddy’s Presence and Commerce business unit, Main Street Hub provides small businesses with a complete “do-it-for-me” service for managing engagement on the most popular social networks. The company combines dedicated teams of branding experts – photographers, writers, designers, marketers – with proprietary technology to manage activity on Facebook, Instagram, Twitter, and Yelp, among others, to allow more than 10,000 small businesses to acquire new customers and build stronger relationships with existing customers.
The acquisition aims to further GoDaddy’s professional services strategy for small business owners who prefer to have dedicated experts build their online presence and manage it for them to accelerate growth and achieve their goals. The company will offer customers a complete suite of “do-it-for-me” capabilities for building an online presence that can be delivered by either small business experts or, for more advanced features and functionality, a community of web professionals.
GoDaddy will maintain Main Street Hub’s offices in Austin, Texas.