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Hostopia nets Aussie hosting brands in j2 Australia acquisition

Hostopia nets Aussie hosting brands in j2 Australia acquisition

j2 Global offloads its Aussie web hosting business as it picks up local cloud provider, CloudRecover.

j2 Global has sold off its Australian hosting business to wholesale web service platform provider, Hostopia.

It is understood that Hostopia Australia, which is owned by US-based services provider, Deluxe Corporation, acquired j2 Australia Hosting in August, netting the company’s two brands in the local market, Web24 and Ausweb, in the process.

Web24, based in Melbourne, counts Microsoft, Citrix, NEXTDC and VMware among its partners.

j2 Global entered the web and cloud hosting market through the acquisition of the assets of Web24 in late 2014, seeing j2 inherit Web24’s domain name, web hosting, dedicated or shared server and related services which are targeted at small- to medium-sized businesses (SMBs).

The latest deal follows Hostopia Australia’s acquisition of Victorian hosting provider, Panthur, earlier in the year, and the Deluxe subsidiary’s more recent US$41 million acquisition of local web hosting provider, Digital Pacific, in August.

Hostopia itself was acquired by Deluxe in 2008 for around US$124 million, in a deal that included the company’s local operations.

“Hostopia Australia, a wholly owned subsidiary of Deluxe Corporation, continues expansion in the Asia Pacific [and] Australia,” Deluxe said in a statement on LinkedIn. “Further expansion has occurred with the acquisition of J2 Australia Hosting Pty, Ltd., a web hosting company located in Melbourne.

“This adds two new brands to our portfolio: Web24 and Ausweb. All of these acquisitions are in line with our hosting acquisition strategy, our global digital strategy and our continued digital transformation.

“Recently, Hostopia Australia has acquired Melbourne-based Panthur and Sydney-based Digital Pacific, Anchor, and Crucial. All of these brands are highly successful and respected providers of hosting and web services,” the statement said.

The latest acquisitions come at time of seemingly increasing consolidation in the local tech landscape.

Just this month, Servers Australia revealed it was set to notch up at least two more large acquisitions before the end of the year, as it works to integrate the assets of its most recent acquisition, Oz Servers.

The company completed its acquisition of Oz Servers earlier in the month, taking control of the customers and assets of the Brisbane-based cloud and colocation provider in the process.

Meanwhile, Web24’s previous owner, j2 Global, acquired Sydney-headquartered cloud provider, CloudRecover, in early September, in a bid to expand the company's back-up presence across Australia and New Zealand (A/NZ).

CloudRecover managing director, Mac Thompson, told ARN at the time that j2 was keen to build out its disaster recovery and backup-as-a-service offerings in the Australian marketplace.


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Tags j2 GlobalCitrixMicrosoftDeluxeAuswebHostopiaWeb24NextDCVMware

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