Deal will cost $4.4 million in cash, restricted stock and liabilities; asset purchase includes domain name, hosting business and an accredited registrar.

Interland, a provider of websites and online services for small and medium-sized businesses, today announced that it has signed a definitive agreement to purchase various assets from Web Internet, LLC., and Web Service Company Inc. including the domain name Web.com, its trademark rights and associated intangible assets.

The deal is also expected to include approximately 9,000 web hosting accounts, and an accredited registrar, would be expected to add roughly $900K in annual hosting revenues, claims the company. The total cost of the transaction is approximately $4.4 million in cash, restricted stock and assumed liabilities. Interland expects to close the transaction before the end of the year and intends to integrate Web.com's offering and customers within Interland's infrastructure. Web.com CEO, Will Pemble, will join Interland as an Executive Vice President and will focus on building Web.com's consumer and registrar business.

"Web.com is one of the leading brand names on the Internet and resonates with virtually everyone. This strategic acquisition gives us a valuable marketing and positioning vehicle for our services and brings tremendous visibility and direct navigation traffic, which is expected to drive organic growth moving forward. To many individuals, the domain Web.com is synonymous with the Internet and websites," stated Jeff Stibel, President and CEO, Interland.

"With the product, patent and market strength of Interland, Web.com has the potential to become one of the most valuable sites online. Web.com and Interland share the same vision of providing everyone with the ability to build and market a successful website," stated Will Pemble, CEO, Web.com. "I have watched over the past few months as Interland has transitioned into a powerful website company and look forward to working with and contributing to the impressive new management team."