Live Current Media to develop Karate.com

Posted by Rob Lewis

Vancouver's Live Current Media is in the news again today with the announcement that it has signed a letter of intent with Domain Strategies, Inc. to jointly establish a new company for the purpose of building, managing and monetizing the Karate.com domain name.

The partnership will see Live Current contributing the domain name Karate.com to the new company in exchange for a 50% interest, plus a distribution and liquidation preference of $500,000. Domain Strategies will earn 50% of new company by investing $250,000 in cash to be used for website construction and operations, business development, marketing, public relations and strategic expertise services in the operation of the business. Domain Strategies will be entitled to a second distribution and liquidation preference of $500,000 that will only be paid out after Live Current Media has received the first $500,000.

If after three years from the date of formation, the new company has not achieved the annual financial goals as set by management and approved by the Board, Live Current has the right to terminate its participation in the ew company and ownership of the domain name Karate.com will revert back to Live Current. In the event Live Current is the terminating party, Domain Strategies will have the right but not the obligation to purchase Live Current's interest in the new company, including the domain name for $1 million within 60 days of termination.

Live Current's strategy is to prioritize building businesses around their top two domain names - Perfume.com and Cricket.com - and to look for alternative methods of monetizing the other domain names in their portfolio. Partnering with a proven developer of web properties for high-value domain names like Karate.com is one option and will likely be the model for future partnerships. However, that doesn't rule out selling select names from their portfolio as well.

Disclosure: Geoff Hampson and Boris Wertz are both Directors of Techvibes Media Inc. and Live Current Media Inc.

Company:
Live Current Media
Website:
http://www.livecurrent.com
Location:
Vancouver, British Columbia, Canada

Live Current builds, owns and operates some of the most powerful and engaging content and commerce destinations on the Internet. Through subject-specific DestinationHubs™, Live Current properties connect people to each other and to the information, brands, and products they are passionate about. Live Current has headquarters in Vancouver, Canada with a location in Seattle, WA and is publicly traded on the NASD... more

Company:
Domain Strategies
Website:
http://www.domainstrategies.com/
Location:
Bellevue, Washington, United States

Domain Strategies is a pioneering leader in the field of internet domain development. The company partners with domain owners, visionary entrepreneurs and smart capital to unlock hidden value in high quality internet domain names. Using a proprietary three step process for domain assessment and development, Domain Strategies unlocks intrinsic domain value by assisting domain owners to build a value added business... more


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Rob Lewis

Rob Lewis

Rob is the President of Techvibes Media and Editor-in-Chief of Techvibes.com.  His diverse background includes stints in International Trade Finance, Web Development, and Enterprise Software and he is a graduate of the University of British Columbia, British Columbia Institute of Technology, and Simon Fraser University. When not running Canada's leading technology media property, Rob can be... more



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