Earlier this month, Donuts Inc. and Rightside Group (NASDAQ:$NAME) disclosed that the two companies have entered into a definitive merger agreement. Rightside Group is a top provider of domain name services which offer the registration and monetization of domain names, while Donuts Inc. is a leading domain name registry for top-level Internet domain extensions.

Under the terms of the agreement, Donuts will acquire Rightside for $10.60 per share in an all-cash tender offer, for a total purchase price of roughly $213 million. The Merger Agreement was collectively approved by Rightside Group’s Board of Directors after a thorough review of strategic and financial alternatives that Rightside released in Q1 of 2017.

“We believe that this agreement offers a substantial cash premium to our shareholders,” explained Rightside’s chief executive officer, Taryn Naidu. “We look forward to working closely with Donuts to consummate this merger.”

Elaborating further, Bruce Jaffe, Donuts chief executive officer stated that “Donuts and Rightside have a long history of working together, and we are delighted to take the next step with this transaction.” He added, “we believe that the combined company will be well positioned to serve our registrar customers and the millions of businesses and individuals who are embracing new ways to brand their online identities.”

If all goes as planned, the transaction is predicted to close during in the third quarter of 2017. Upon completion of the transaction, Rightside will become a 100% owned subsidiary of Donuts Inc. Additionally, Rightside Group’s common shares will not be listed on any public market following the transaction.

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