Ethos Capital acquires controlling stake in Donuts

Ethos Capital has acquired a controlling stake in Donuts Inc from Abry Partners.

Ethos Capital has acquired a controlling stake in Donuts Inc from Abry Partners. No financial terms were disclosed. Based in Seattle, Donuts owns a portfolio of domains.


Boston, MA – Ethos Capital, LLC (“Ethos Capital”), a private equity firm that invests in middle-market companies, announced today that it has completed an investment to acquire a controlling interest of Donuts Inc. (“Donuts”) from Abry Partners. Based in Seattle, WA, Donuts holds the world’s largest portfolio of top-level domains (“TLDs”) and offers individuals and organizations new ways to promote and enhance their true digital identities.

Ethos Capital’s Co-CEOs, Erik Brooks and Fadi Chehadé, have deep experience in the digital infrastructure sector and have owned and worked with companies in the domain industry for years. Ethos Capital’s initial investment in Donuts in 2020 facilitated the acquisition of Afilias, Inc. a leading TLD registry operator and provider. The Ethos Capital investment group, which includes strategic partner The Baupost Group, funds managed by Neuberger Berman and others, now controls the Donuts Board of Directors and will provide a strong shareholder base to support the company’s future growth.

“With extensive operational expertise and significant experience in domain name and related industries, Ethos Capital is the perfect partner to support our mission of reliability, security, and stability, as well as position us for continued success. We look forward to working with the Ethos Capital team and leveraging their expertise as we enter this next phase of growth,” said Akram Atallah, CEO of Donuts.

“Akram and the rest of the Donuts team have built an industry-leading domain company and demonstrated consistent organic growth through multiple market cycles. We are thrilled to partner with the team and look forward to applying our unique value proposition to their existing platforms,” Brooks said.

Chehadé added, “We appreciate that Donuts helps businesses establish and promote their digital identities, while also maintaining data security. Through our focus on operational excellence and responsible strategies, Ethos Capital will support Donuts as it continues to serve its customers’ business needs.”

Ethos Capital was founded on the principle that operating expertise is mission critical to making sound investment decisions and adding value to portfolio companies. Ethos Capital’s Executive Partners bring disciplined investment and management experience to the businesses with whom they partner.

Morrison & Foerster LLP served as legal counsel to Ethos Capital. Donuts was advised by Kirkland & Ellis LLP. There were no investment bankers involved in the transaction.

About Ethos Capital, LLC
Ethos Capital was established to make majority and control minority investments in middle-market companies primarily across North America and Europe. The organization, led by Erik Brooks and Fadi Chehadé, provides operational expertise to businesses through a dedicated team of Executive Partners. Unlike other private equity firms, Ethos Capital’s strategy is to add value through accelerating growth within companies, by partnering with existing management teams to strategically build and enhance operations.

Ethos Capital is actively seeking new investment opportunities with companies that understand the importance of stakeholder capitalism and appreciate the impact of implementing responsible strategies. For more information, please visit