Interland Eyes More Acquisitions


Interland on Wednesday confirmed that it is in talks to acquire certain Web hosting assets from e.spire Communications, a telecommunications provider.

Atlanta-based Interland said it is negotiating to buy assets of FloridaNet and CyberGate, e.spire's Web hosting subsidiaries. E.spire, Herndon, Va., filed for Chapter 11 bankruptcy protection on March 22, and any deal would be subject to approval by the U.S. Bankruptcy Court.

The leading bid of $21 million for certain assets of CyberGate has already been approved by the court, e.spire said earlier this week.

During a first-quarter earnings call with financial analysts last month, Interland Chairman and CEO Joel Kocher said the company plans to grow through acquisitions. In October, Interland acquired Web hosting assets from Interliant, a Purchase, N.Y.-based ASP. Terms of the deal weren't disclosed.

Shares of Interland traded up 6 cents at $2.17 this afternoon.