Verisign's Sale Of Kontiki: $1 Million Plus Stake In New Business
This story was written by Rafat Ali.
So however Verisign wants to spin it, it really really wanted to get rid of the Kontiki CDN part of its business. So much so that it sold it off to MK Capital for " $1 million and 3,980,000 shares of the Purchaser's Series A Preferred Stock," according to an 8K filed with SEC earlier today. We first reported on the sale earlier in the weekend. The filing also has some details on Kontiki's revenues for last year: $6.16 million in 2007, on an operating loss of $25.27 million. That's compared to revenues of $9.9 million in 2006, on operating losses of $16.7 million.
Verisign bought Kontiki in 2006, for around $62 million. Verisign announced in November last year that it planned to shed non-core assets, including communications, billing and commerce. The new company under MK has named, Eric Armstrong as President and Todd Johnson, formerly CEO of Kontiki, is now chairman of the board.
By Rafat Ali