CentralNic kicks out ARI as back-end for four new Radix gTLDs

CentralNic has replaced ARI Registry Services as the exclusive back-end registry services provider for four new gTLDs.
Radix, the new gTLD portfolio applicant formerly affiliated with Directi, will use CentralNic “exclusively” for .press, .host, .website and .space, according to a press release this morning.
ARI was originally listed on Radix’s applications as the technical services provider for all four, but as a result of change requests submitted in January ARI is out and CentralNic is in.
All four were either originally uncontested strings or have since been won by Radix at auction.
The news of the switch follows the announcement last month that CentralNic has also become a “preferred” back-end for portfolio applicant Famous Four Media, alongside ARI and Neustar.

ROTD conducts first new gTLD auction as One.com wins .one

Danish registrar One.com has won the .one contention set in the first private auction carried out by new gTLD consultancy Right Of The Dot.
One.com beat Radix, the United Arab Emirates-based portfolio applicant, to the string. Radix withdrew its application last week. The price has not been disclosed.
ROTD, Mike Berkens and Monte Cahn-managed company, has been competing with Applicant Auction for contention set resolution services and this is its first win.
The .one auction was carried out using a “single sealed bid second price” methodology, in which all participants privately submit a single bid and the winner pays the second-highest losing bid.
In this case, One.com will have paid Radix whatever bid Radix had put forward, with ROTD and escrow partner Escrow.com taking their fees from the winning bid.
Applicant Auction uses an “ascending clock” method, where bids are set in increments by the auctioneer over the space of several rounds, with bidders choosing to stay in or drop out in each round.
Cahn said in a press release: “Our Single Sealed Bid Second Price auction method protects the participants from ‘auction fever,’ which often causes over-bidding as people get emotionally tied to the process of winning at any cost due to time committed and sometimes throw their budgets out the window.”

Directi joins Domain.com family in $100m deal

Endurance International, the holding company behind brands such as Domain.com and HostGator has closed the acquisition of top ten registrar Directi and some related companies.
The acquisition, which was announced last September is worth between $100 million and $110 million — $25.5 million in cash and the rest in shares and a promissory note.
The deal includes Directi properties BigRock (a registrar), ResellerClub (the reseller-focused registrar), LogicBoxes (the registrar management service) and webhosting.info.
It does not include Radix Registry, the company that applied for 31 new gTLDs, 28 of which applications are still active.
Directi CEO Bhavin Turakhia “has agreed to be closely involved in the integration of the two companies”, but it doesn’t sound like he’s taking on a permanent role at Endurance.
Endurance may not be a familiar brand in and of itself, but its businesses include Bluehost, HostGator, Domain.com, FatCow, iPage and Mojo Marketplace.

TLDH raises $5 million from gTLD auctions

Top Level Domain Holdings made almost $5 million by losing auctions for the .lawyer and .website gTLDs this week, according to the company.
The London-listed company told the markets today that it has added £2.97 million ($4.81 million) to its coffers as a result of the auctions, in which Radix won .website and Donuts won .lawyer.
The number is net of the 4% cut taken by Innovative, which conducted the auctions, and the two $65,000 refunds TLDH will receive from ICANN when it withdraws the applications.
Some portion of the $4.8 million TLDH will have received from Donuts, where .lawyer was a two-horse race.
Radix’s winning bid for .website will have been split evenly between TLDH and Donuts.
At least one of these TLDs seems to have sold for significantly more than the average private auction selling price, which was $1.33 million after the first 14 Innovative auctions.
Innovative has managed auctions for 18 strings, but we don’t know the total price of the latest four.
The .website and .lawyer deals means TLDH now has £10.1 million ($16.3 million) in cash reserves, according to a company press release.
It still has 43 contested applications, however. On a $16 million budget — quite a lot less than some of its portfolio rivals — the company is going to have to make some smart tactical moves to maximize its gTLD portfolio.
“Our strategy remains to best monetise those applications where we see least value so that we can maximise our ability to acquire those names in which we see greatest value,” chairman Fred Krueger said in the press release.
It still has stakes in 25 uncontested gTLDs.
NOTE: An earlier version of this story contained inaccurate statements — failing to take into account that .website was a three-way contest — about the average selling price of new gTLDs at auction.

Directi’s Radix wins .website gTLD auction

Directi-affiliated TLD registry Radix, has won the private auction for the .website gTLD, according to Radix.
The company beat rival portfolio applicants Donuts and Top Level Domain Holdings to the string, in an auction that was managed by Innovative Auctions, likely one of several going on this week.
There’s no outstanding Governmental Advisory Committee advice or objections to the Radix application, so its path to contracting and eventual delegation should be relatively uncontroversial now.
The price was undisclosed, Innovative’s standard terms.
Directi is in the process of being acquired by Endurance International, owner of Domain.com, which promised Radix up to $62 million to help with its gTLD auctions.

Domain.com owner files for $400m IPO, to spend $110m buying Directi

Endurance International, owner of Domain.com and HostGator, plans to raise up to $400 million in a Nasdaq IPO, and said it will spend up to $110 million of that buying Directi, India’s largest domain registrar.
As part of the proposed acquisition, Endurance has also agreed to bankroll Directi’s new gTLD auctions to the tune of $62 million.
The acquisition is not final, and appears to depend on a number of targets related to the IPO and Directi’s revenue performance. Endurance’s S-1 filing with the US Securities and Exchange Commission reads:

In August 2013, we entered into a master share purchase agreement to acquire all of the outstanding capital stock of Directi from Directi Holdings, the seller, for an amount we estimate will be between $100 million and $110 million in cash or, at the election of the seller, a combination of cash and shares of our common stock, subject to the satisfaction or waiver of specified customary closing conditions and the achievement of specified financial targets.

The acquisition would close in the fourth quarter this year.
As well as running a top-ten registrar (and a few dozen others), Directi subsdiary Radix Registry has 29 active new gTLD applications, 26 of which are contested.
Endurance proposes to help Radix win these contention sets. On new gTLD auctions, the S-1 says:

in connection with our proposed acquisition of Directi, we entered into agreements with entities affiliated with Directi Holdings related to participation in the auction of new top level domain extensions and domain monetization activities, pursuant to which, among other things, we may be obligated to make aggregate cash payments of up to a maximum of approximately $62 million, subject to specified terms, conditions and operational contingencies.

Endurance is a complicated company. Its most familiar brands include Domain.com, iPage, FatCow, Homestead, Bluehost, HostGator, A Small Orange, iPower and Dotster.
But since December 2011 it has been controlled and majority owned by Warburg Pincus and Goldman Sachs, which paid a reported $975 million.
Its annual revenue for the last three calendar years has been $87.8 million, $190.3 million and $292.2 million. It’s currently not profitable, recording a net loss of $139.2 million in 2012.
It has seven million domains under management and had 3.4 million customers at the end of June 2013.
Judging by the S-1, the company has over a billion dollars of debt. Directi acquisition excluded, most of its IPO proceeds would go towards paying off some of that debt.

URS is live today as .pw voluntarily adopts it

Directi has become the first TLD registry to start complying with the Uniform Rapid Suspension process for cybersquatting complaints.
From today, all .pw domain name registrations will be subject to the policy, which enables trademark owners to have domains suspended more quickly and cheaply than with UDRP.
URS was designed, and is obligatory, for all new gTLDs, but Directi decided to adopt the policy along with UDRP voluntarily, to help mitigate abuse in the ccTLD namespace.
URS requirements for gTLD registries have not yet been finalized, but this is moot as they don’t apply to .pw anyway.
To date, only two UDRP complaints have been filed over .pw domains.
The National Arbitration Forum will be handling URS complaints. Instructions for filing can be found here.

Directi launches pre-reg site for .host gTLD

Directi is to offer preregistration for its uncontested gTLD applications, and it’s starting with .host.
The company will accept expressions of interest from potential registrants from June 17, where it has a booth at the HostingCon show in Austin, Texas, according to business head Sandeep Ramchandani.
Directi’s other two uncontested bids — .press and .space — will also get preregistration pages.
It’s the usual pre-reg deal: free and no-obligation.
While .host has not yet passed its Initial Evaluation, the company’s other applications have has a smooth ride so far so it’s a pretty reasonable assumption that this one will also pass.
The bid also has no objections and no special Governmental Advisory Committee advice.
While preregistration services have proved controversial in the past, they’re becoming increasingly common as new gTLDs start thinking about what a crowded market they’re walking into.

China pushes .pw to over 250,000 names

Directi’s .PW Registry has taken over 250,000 domain registrations in the two and a half months since it launched, largely thanks to growth in China.
According to recent DomainTools research, Chinese registrars such as DNSPod and Xin Net lead .pw sales, and .PW business head Sandeep Ramchandani told DI today that this trend is now even more noticeable.
The frankly surprising volume seems to be due largely to its low pricing and some aggressive registrar promotion. Xin Net, for example, sells .pw names for about $6 each, compared to $9 for .com.
While Chinese-script domains are available, most registrations are for Latin strings, Ramchandani said.
The 250,000 number excludes domains that have been deleted for abuse, of which there have been quite a lot.
Ramchandani said that the registry’s abuse department is staffed around the clock.
Directi is using NameSentry from Architelos to track abusive names and has made deals with the most-abused registrars to take down names at the registry level when they pop up, he said.

Today’s new gTLD withdrawals: .play and .design

Two new gTLD applications have been withdrawn today: Directi’s .play and Starting Dot’s .design.
They’re the second application to be withdrawn by Directi after .movie, which it pulled last month for undisclosed reasons, and the first of Starting Dot’s five bids to die.
Starting Dot said that it has bowed out of the .design fight because there were “simply too many” other applicants in the contention set: eight including itself.
“It is now setting its focus and energy supporting and helping to grow its four other domains, and especially the two which are single applicant, .ARCHI and .BIO,” the company said.
I don’t believe either string was the subject of the private auctions that are happening this week. At least, they weren’t on the lists published by Demand Media or Donuts.
Directi’s .play bid, the first of the four-way contention set to be withdrawn, faces competition from Amazon and Google — both with “closed generic” models — as well as Famous Four Media.
The gTLD deadpool now comprises 71 withdrawals.