In news out of bankruptcy court yesterday, Circuit City sold its domain name CircuitCity.com, brand, customer lists etc. for $14 million plus a share of revenue.
Clearly, there is life after death, not only for the hard assets held by companies in bankruptcy, such as real estate, and inventory etc, but also their interenet real estate. Some of the highest values for domain names have been paid for acquisition of domains out of bankruptcy court. Consider the recent sale of Toys.com for $5.1 million out of bankrupty court for example.
Though many have a hard time understanding the value of something seemingly intangible such as a domain name, clearly domains have a demonstrated tangible value.
The buyer of CircuitCity.com also guaranteed the minimum revenue share at no less than $3 million over 30 months, putting a total transaction value at a minimum of $17 million.
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