Register.com Announces Acquisition of Afternic.com
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Register.com Announces Acquisition of Afternic.com

Register.com Announces Acquisition of Afternic.com

Leading Competitive Registrar and Leading Provider of Secondary Domain
Names Team Up to Create Comprehensive Domain Name Registration Marketplace

New York, NY September 15, 2000 -- Register.com, Inc. (Nasdaq: RCOM), a
leading Internet domain name registrar, and Afternic.com, a leading
provider of domain name resale services, today announced that register.com
has signed a definitive agreement to acquire Afternic.com.

Under the terms of the agreement, register.com will issue 4.38 million
shares of common stock and pay $10 million in cash. The transaction will be
accounted for as a purchase and is expected to close today. Upon the close
of the transaction, Afternic.com will become a wholly-owned subsidiary of
register.com. All Afternic.com employees will be offered positions with
this subsidiary. A portion of the 4.38 million shares and the $10 million
cash being paid is to satisfy existing Afternic.com obligations.

This strategic move will enable register.com to leverage its strong brand,
comprehensive resources and extensive buyer base to realize new business
opportunities within the domain name resale market, a key growth area. By
acquiring Afternic.com, a leader in this market, register.com will gain
fast entry in a sector that complements its current offerings.

With Afternic.com, register.com will be able to offer all users a one-stop
source for domain name services. Register.com currently provides
individuals, businesses and ISPs with a suite of domain name services,
including registration, renewal, management, Web site development, and
escrow services. Afternic.com provides domain resale services including,
auctions and appraisals to individuals and businesses of all sizes. The
company has over 800,000 names offered in auction and has completed over
1,000 secondary domain name transactions.

Afternic.com is clearly a leader in a burgeoning marketplace, with an
exceptional brand, superior technology and extensive network of
relationships with domain name registration sellers, said Richard Forman,
President and CEO of register.com. This combination marries our expertise
in servicing buyers with the proven track record of Afternic.com in
attracting sellers, and gives register.com a significant foothold and
competitive advantage in the emerging secondary domain name market. We
intend to leverage our expertise to expand register.coms offerings to its
customers.

Were very excited about joining the register.com team and the
possibilities it will create for both businesses, Jon Whelan, co-CEO of
Afternic.com, commented. Our strong belief in the register.com brand,
whose reputation as a trusted industry resource, is one of the primary
reasons for our teaming together. We look forward to bringing added value
to our many customers, and to providing a superior and responsible industry
resource for domain name registration and the most comprehensive array of
domain name services.

Jon Whelan, Co-CEO of Afternic is being named Managing Director, Secondary
Market Development & Sales and Chris Maroney, Co-CEO of Afternic.com, is
being appointed Managing Director, Secondary Market Operations.

Register.com will web-cast a conference call at 11:30 AM EDT today which
will be accessible through the companys investor relations website:
http://investor.register.com. The call will be available for replay
beginning at 1:30 PM EDT.

About register.com

Register.com, Inc. (www.register.com) provides domain name registration and
other Internet services for individuals and businesses that wish to have a
unique address and a branded identity on the Internet. Register.com also
provides telcos, ISPs and other online businesses and communities with the
ability to offer, brand and manage their own unique version of the
register.com domain registration and Web site creation services.

The first registrar to compete in the domain registration market after the
US government deregulated the industry in 1999, register.com has registered
over 2 million domain names. The company was founded in 1994 and is based
in New York City. For investor information, visit our Web site at
http://investor.register.com.

About Afternic.com

In just nine months of operation, Afternic.com has become a leading
destination on the Web for aftermarket domain name sales, acquisition, and
research. Buyers and Sellers are able to value domain name assets, place
automatic bids, track auction activity, and manage complex domain name
portfolios. Afternic.com currently lists over 800,000 names for sale and
the site's 80,000 members have created over 1,000 unique valuation models,
and made over one million community appraisals, making Afternic.com the
leading domain name valuation resource on the Internet. Adding to
Afternic.coms attractiveness are industry news and topical discussion
forums. All transactions are protected by Afternic.com's exclusive
registration transfer process, DNescrowTM.

 

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