The Web's local mogul

MarchexThere is a new article in CNN Money/Business 2.0 about Marchex (NASDAQ: MCHX), the "local mogul". Paul Sloan, editor-at-large at Business 2.0, takes a closer look at Marchex and profiles the company's CEO Russell Horowitz:

The two Web multimillionaires had never crossed paths, but when Russell C. Horowitz and Frank Schilling finally met to talk business three years ago, the summit began in style - sipping soft drinks poolside at the Four Seasons Las Vegas and chatting about private jets.

Horowitz, a ponytailed 38-year-old at the time, had made his fortune as the founder of a bubble-era darling called Go2Net, which he sold for $1.6 billion. Schilling, whose regular attire is designer surfwear, made his mint in secrecy as a domain-name investor working out of an ocean-front condo in the Caymans. Horowitz owned a share of a Citation X, the fastest personal aircraft in the sky. Schilling, who pulls in $20 million a year from his domain business, coveted one for himself. "At the time," he says, "I was planeless."

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I wrote about Marchex being undervalued in August and I adhere to this statement. Local search is one of the next big things on the Internet and Marchex does not only own good local search companies and local data providers, but they also hold a large generic domain portfolio. The stock is at $9.49 today and the market cap is just above $400 million. The company's 200,000 domain portfolio alone is worth more than that...