Crexendo, Inc. acquired 100% of the issued and outstanding membership interests of Estech Systems, LLC (ESI) and its operating subsidiary, ESI Hosted Services, LLC. The acquisition was completed on March 1, 2026. The aggregate purchase price was $35,000,000, consisting of $27,300,000 in cash and $7,700,000 in Crexendo common stock, resulting in the issuance of 1,159,638 shares. ESI generated approximately $26 million in revenue in 2025. The acquisition is expected to be immediately accretive to revenue and EBITDA. Crexendo anticipates approaching a $100 million run rate in annual revenue with enhanced operating leverage post-acquisition. The cash portion of the purchase price was financed using cash on hand.