SeaChange announced that it has sold its media services company, On Demand Group, to Avail-TVN for $27m on a cash-free, debt-free basis. U.K.-based On Demand Group, specializing in content aggregation and management of VOD services, becomes part of Avail-TVN effective immediately.
The deal is the culmination of a series of actions aimed at helping SeaChange transition its business to a software-centric business. Earlier this year the company announced a $5m cost cutting program earlier this year, parted ways with its president, made acting CEO Raghu Rau’s position permanent, and spun off its broadcast hardware business to newly formed XOR Media.
“This sale is part of the ongoing execution of our strategy to transform SeaChange into a pure-play software company, while generating significant cash for our business and improving shareholder value,” said Rau. “We can now focus our efforts on strengthening our competitive advantage in delivering next generation multi-screen video software solutions to cable, IPTV and mobile operators worldwide.”
Press Release: SeaChange Announces Sale of On Demand Group to Avail-TVN
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