Albuquerque, New Mexico (CNN) Newtek Web Hosting, a startup based in Albuquerque, announced it will merge with another web hosting company to create a new brand, Fatcow.
Fatcow’s CEO, Daniel Perna, said in a statement that the move will create a better business environment for the company.
“We have a very good relationship with Newtek and we’re excited to work with them on our merger,” Pernab said.
“We believe the combined company will have more resources and more focus on growing our business and delivering great service for our customers.
We have been committed to the Albuquerque market for years and we are excited to expand our reach into the area.”
Newtek, which provides web hosting and web apps for small businesses, has been offering hosting to the internet since 2014.
The company said in March that it had raised $50 million from investors, and Pernapa said in February that it would hire about 100 employees to stay on the air.
The move comes after the company said it would be acquiring the startup, called Web Host, for $6.5 million.
Pernawas announcement said that the company will acquire the company to “continue to provide high-quality hosting services to our customers, including Newtek.”