Domain name company gets line of credit for acquisitions and working capital.

Oversee.net, parent company of domain name parking company DomainSponsor, has arranged a $60M line of credit. The revolving line of credit will was arranged by Banc of America Securities LLC. Bank of America, N.A. will serve as administrative agent. A syndicate of lenders and financial institutions is participating in the facility with Bank of America, including Comerica Bank, California Bank and Trust and Silicon Valley Bank.

Lawrence Ng, CEO of Oversee.net, says the line of credit will give the company the flexibility to pursue its agressive growth plans.
Over the past year Oversee.net has gone on a massive domain acquisition spree. The company now owns over 500,000 domains, making it one of the biggest domain name portfolio owners. DomainSponsor currently monetizes over 2.5M domain names. By monetizing these domains Oversee.net has unique insight into the value of the domains, which gives it a competitive advantage.

This line of credit puts more money into the market chasing domain name portfolio acquisitions. Companies such as iREIT, Demand Media, and Marchex (NASDAQ: MCHX) have over $100M in capitalization for domain purchases, although much of this has already been invested over the past couple years. Each of these companies is pursuing slightly different strategies. Demand Media purchased registrars eNom and Bulk Register and is focusing on user-generated content for its domains. Marchex has a large portfolio of domains, many of them zip code domains, and uses its own advertising network to monetize them. iREIT has focused on large portfolio acquisitions and content development monetized by Google Adsense.

That's a fair bit of money. *wishes he could get ahold of that*

bet if you've got some good generic domains or typo's you could get a piece of that, they'll come knocking I'm sure.