More Broadcast Vendor M&A: Private Equity Firm Acquires Telestream

Posted by Joe Zaller
Dec 21 2011

Transcoding technology provider Telestream announced that it has entered into a definitive agreement to sell the company to Thoma Bravo, a private equity firm. Terms of the deal were not disclosed.

The company said the deal will facilitate further growth of Telestream’s core businesses and provide additional capital for further market expansion and acquisition

Telestream is not a stranger to M&A having previously self-financed three acquisitions: compression specialist Popwire in 2006; live webcasting and screencasting provider Vara Software Ltd. in 2008; and Anystream, a leading provider of automated multi-platform media publishing solutions in 2010.

Telestream will continue to operate as an independent entity with existing management teams continuing their current roles. Headquarters will remain in Nevada City, California with offices in Virginia, Sweden and Germany.

Telestream says it has been profitable since 2001, and anticipates ending 2011 with thirteen straight years of record sales growth.

“This acquisition recognizes Telestream’s history of market leadership, double-digit growth and profitability,” said Dan Castles, Telestream’s co-founder and CEO. “That growth would not be possible without our original investors and dedicated team of employees who have demonstrated a strong commitment to our customers. We look forward to our next phase of growth and expansion with Thoma Bravo as we continue to play a leadership role in the digital media industry.”

“Thoma Bravo is excited to partner with Telestream’s existing management team to continue to expand the company’s market leadership position,” said Holden Spaht, partner at Thoma Bravo.  “We look forward to building on the company’s impressive reputation for product innovation, strategic acquisitions, and world-class customer service.”

“The video ecosystem continues to grow and expand as customers require increasingly complex tools to manage their end-to-end video workflows,” said A.J. Rohde, vice president at Thoma Bravo. “Thoma Bravo sees significant opportunity in the digital media market, and Telestream is well positioned as a strong platform for increased investment in the industry.”

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Related Content:

Press Release: Thoma Bravo to Acquire Telestream to Accelerate Business Growth

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