Tucows today announced it has sold all of its 7.38% equity interest in Afilias, a global provider of registry services, back to the company.
The purchase price of $7.4 million is payable to Tucows in three cash installments: $3.2 million today; $2.1 million in June 2009; and $2.1 million in December 2009.”This sale is another step in our stated goal to divest non-core assets in order to unlock hidden value for shareholders,” said Elliot Noss, President and CEO of Tucows Inc. “The proceeds of the sale provide additional funds that will be used to fund further share repurchases.
Tucows is up $.02 to $.35 in early trading today.
Thanks for the News – your website Rocks
Just gotta love companies when they spout this stuff … whenever they buy a piece of or an entire other company it’s usually, “Wonderful synergy … a great diversification opportunity … can extend our brand … ”
And when they sell this same piece of or entire company, it’s usually, “Divest non-core assets … focus on our core business … ”
Yet how often do we hear the truth, “We made a mistake.”
Never.
UPDATE
Shares of Tucows were up 33% today or $.11 after the release of this news, on a day where the Dow was down almost 500 points and the NASDAQ was down almost 100.
Very impressive
I don’t follow much with Tucows, but did they make any money on this dump at least?
Mike
I do not know what there cost basis in the shares were, however the market sure liked it