Feeds

Sex.com sells for $13m

You don't get many of them to the pound, eh

Boost IT visibility and business value

The storied domain name sex.com is set to be sold for $13m, The Register has learned.

Bankrupt Escom LLC sex.com's current owner, has sealed a deal to hand over the domain to a company called Clover Holdings Ltd, according to documents filed this week in a California court.

Escom purchased the domain from its previous owner in 2006. The price then was variously reported as being between $12m and $14m, making it one of the most expensive domains of all time.

According to bankruptcy court documents, Clover Holdings was chosen from among 12 bidders after making the "highest and best offer".

Clover itself is a bit of a mystery. It is based on the Caribbean island of Saint Vincent, and the email address listed in court documents is @hushmail.com, the privacy-conscious webmail service.

The sale includes a couple of trademarks related to the domain.

The negotiations were handled by Sedo.com, a domain name auction company. Sedo, which will take a cut of the sale price, started soliciting offers in July.

The deal is subject to bankruptcy court approval. Escom sought a hearing on an accelerated timetable, which was granted yesterday. The hearing will be held next Wednesday, 27 October.

Sex.com is a domain with history. Originally registered by entrepreneur Gary Kremen in 1994, it was soon hijacked by convicted conman Stephen Cohen.

The theft was challenged in court, but it took Kremen five years to recover the domain, during which time Cohen was reportedly making up to $500,000 a month from advertising on the site.

A court ultimately issued a $65m judgement against Cohen, who fled to Mexico and was eventually arrested. He was released from prison in 2006.

The domain had almost as turbulent a time under Escom's ownership. A fight broke out between the company's creditors earlier this year when one of them pushed the domain to auction.

A few days before it was due to commence, other entities involved in Escom's complicated ownership structure filed an involuntary bankruptcy petition, effectively putting the stoppers on the auction.

These entities, controlled by Mike Mann, claimed that the selected auction house, which does not specialise in domain names, was not the place to get the best price for the domain.

A deal was eventually reached which allowed the bankruptcy court to order, in June, that Sedo could handle the sale instead.

Had a private sale not been agreed, sex.com was scheduled to go to public auction next week. ®

Maximizing your infrastructure through virtualization

More from The Register

next story
Stick a 4K in them: Super high-res TVs are DONE
4,000 pixels is niche now... Don't say we didn't warn you
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
Philip K Dick 'Nazi alternate reality' story to be made into TV series
Amazon Studios, Ridley Scott firm to produce The Man in the High Castle
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
Bose says today is F*** With Dre Day: Beats sued in patent battle
Music gear giant seeks some of that sweet, sweet Apple pie
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
Too many IT conferences to cover? MICROSOFT to the RESCUE!
Yet more word of cuts emerges from Redmond
Joe Average isn't worth $10 a year to Mark Zuckerberg
The Social Network deflates the PC resurgence with mobile-only usage prediction
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Application security programs and practises
Follow a few strategies and your organization can gain the full benefits of open source and the cloud without compromising the security of your applications.
How modern custom applications can spur business growth
Learn how to create, deploy and manage custom applications without consuming or expanding the need for scarce, expensive IT resources.
Securing Web Applications Made Simple and Scalable
Learn how automated security testing can provide a simple and scalable way to protect your web applications.