Archive for the ‘Broadcast Vendor M&A’ Category

DaySequerra Acquires Orban

Broadcast Vendor M&A | Posted by Josh Stinehour
Jul 11 2016

Audio solution provider DaySequerra announced it has reached an agreement to acquire Orban, a provider of audio processing solutions for broadcast transmission.  Financial terms were not disclosed.

The acquisition remains subject to approval by the shareholders of Orban’s parent company Circuit Research Labs, Inc, which formerly traded on the OTC/BB NASDAQ.  Circuit Research Labs ceased issuing SEC filings in late 2008.  At the time, it was a $14 million annual revenue business.

Orban is a long-standing brand in the broadcast industry.  The Company was originally founded in 1975 by Bob Orban.  It was acquired by AKG Acoustics in 1989, which in turn was subsequently purchased by Harman International in 1993.  Harman divested Orban to Circuit Research Labs in 2000.

In May 2010, the Brentlinger family, the principal owners of Circuit Research Labs, publicly announced their intention to seek to divest majority ownership of Orban.  By August 2010, the Brentlinger family changed course and decided to retain their investment position.

Orban is also a founding member of the Broadcast Industry Group (BIG), announced ahead of IBC 2014.  BIG consists of Orban, SCMS, Jampro, DaySequerra, BW Broadcast, Bird Technologies, and StreamGuys and is intended to “promote the consolidation of key manufacturers and service providers in the broadcast industry.”

“The synergistic opportunity that this acquisition represents is just fantastic – opportunities like this don’t happen very often. We look forward to working with Bob’s team and Orban Europe to develop and bring to market the next-generation of intelligent audio processing in the broadcast, consumer and automotive spaces,” said DaySequerra’s President, David Day.

Jay Brentlinger, President, CEO and Chairman of Circuit Research Labs added “We are really excited about DaySequerra’s acquisition of Orban and to work together with David and his team. With a significant array of technologies, these combined companies will be a formidable force in the marketplace.”

 

Related Content:

Press release: DaySequerra Acquires Orban

 

 

© Devoncroft Partners 2009-2016.  All Rights Reserved.

 

 

ChyronHego Acquires Click Effects; 5th Acquisition Since Going-Private

Broadcast Vendor M&A | Posted by Josh Stinehour
Jul 08 2016

ChyronHego has acquired Sound & Video Creations, the provider of the Click Effects family of products used in live sporting venues.  Financial terms of the transaction were not disclosed. ChyronHego Logo

Sound & Video Creations was founded in 1985 and is headquartered in Nashville, Tennessee.  The Click Effects products are used in venues to clickeffects
playback content on arena displays with data-driven graphics.

Customers range from small college athletics such as Rochester Institute of Technology to professional league venues such as Qualcomm stadium, home of the San Diego Chargers.  According to the press release, Click Effects systems are installed in more than 75% of Major and Minor League Baseball teams, almost 65% of NFL, NHL, and NBA stadiums.  The Company’s website lists a total of 896 installations, breaking down by use case as illustrated below.

ce-usecases

The vast majority of the clients listed on the website are located in North America.

This is the fifth acquisitions by ChyronHego since being taken private by Vector Capital in early 2015.  Earlier acquisitions included Newsroom Solutions (9/2015), Vidigo (9/2015), WeatherOne (4/2015), and ZXY Sport Tracking (4/2015).

Johan Apel, president and CEO of ChyronHego, commented “With sports fans paying a premium for tickets to live sports events, there is demand and an expectation for an ever more sophisticated A/V experience once inside the stadium. As a result, solutions for streamlining in-arena productions represent a growth market and an outstanding opportunity for ChyronHego.”

Cliff Wight, president Sound & Video Creations Inc, added “We’re proud of our achievement as the number one provider of stadium A/V solutions in the United States, and now — as part of the global ChyronHego development and sales organization — we’ll have a ready path for expanding our product set on a global basis. Also, ChyronHego’s culture and technology strategy, based on providing a comprehensive software-based ecosystem of integrated solutions, are an ideal fit with our own.”

 

Related Content:

Press release: Chyronhego acquisition of Click Effects

 

 

© Devoncroft Partners 2009-2016.  All Rights Reserved.

 

 

Google Acquires Anvato to Complement Media Tech. Portfolio

Broadcast Vendor M&A | Posted by Josh Stinehour
Jul 08 2016

Google is acquiring Anvato, a provider of video processing functionality for multi-platform content delivery.  The acquisition was announced on the Google Cloud Platform blog by Belwadi Srikanth, Senior Product Manager.  Terms of the acquisition were not disclosed.  googlelogo_color_272x92dp

According to SEC filings, Anvato had raised $2.8 million in late 2008.  The Mountain View based company has several high-profile media clients including NBC Universal, Fox Sports, Univision, and Gray TV. Anvato

In the blog post announcing the acquisition, Mr. Srikanth cites the opportunity to participate in the media industry’s transition to over-the-top distribution models and the ongoing adoption of cloud solutions by media organizations.  “With OTT adoption rapidly accelerating, the Cloud Platform and Anvato teams will complement our efforts to enable scalable media processing and workflows in the cloud” writes Mr. Srikanth.

The Media Solutions portion of the Google Cloud Platform website highlights case studies with UK visual effects studio Framestore, US visual effects studio Atomic Fiction, and live video service provider iStreamPlanet (now owned by Turner).  There is overlap in the technology offerings of iStreamPlanet and Anvato, though any move by a cloud provider to offer higher level functionality will necessarily lead to overlap with existing customers.

Since its August 2014 acquisition of ZYNC Render, the Google Cloud Platform has been active in the post-production vertical.  At the 2016 NAB Show, Autodesk and Google announced integration between ZYNC and Autodesk’s Maya, a software video effects tool for animation, modeling, and rendering.  Maya users can offload rendering tasks, as needed, to the Google ZYNC Rendering service running on the Google Cloud Platform.  ZYNC pricing is consumption based and begins at $0.60 per machine hour.

Interestingly, prior to its acquisition by Google, ZYNC had been optimized to run on Amazon Web Services.

Anvato’s CEO Alper Turgut posted a message about the acquisition on the Company’s blog.  “We are thrilled to bring together Anvato with the scale and power of Google Cloud Platform to provide the industry’s best offering for OTT and mobile video. This will allow us to supercharge our capabilities, accelerate the pace of innovation, and deliver tomorrow’s video solutions faster, enabling media companies to better serve their customers” said Mr. Turgut.

 

Related Content:

Google Cloud Platform Blog Post on Acquisition

Press Release: Anvato Joins Google

 

 

Devoncroft Partners 2009-2016.  All Rights Reserved.

 

 

SES Completes Acquisition of RR Media; Renames MX1

Broadcast Vendor M&A, Media Services M&A, OTT Video | Posted by Josh Stinehour
Jul 06 2016

Satellite service provider SES today announced the completion of its acquisition of RR Media (NASDAQ: RRM), a provider of media services to the broadcast and media industries.  The acquisition was announced in late February 2016, but had been pending closing conditions and regulatory approvals.  RR Media’s shares ceased trading on the NASDAQ today.   SESLogo

As indicated in the original announcement, SES is merging the operations of RR Media with its Platform Services group to create a larger global media solution provider.  The new combined group will operate under the trade name MX1.  Avi Cohen, the previous CEO of RR Media, will serve as the CEO of MX1.MX1

The press release announcing the new trade name highlights the origin of MX1 from the below statement.

“Bringing it all together for the first time, MX1 aims to be the new number 1 in Media eXperience.”

SES’s new MX1 subsidiary will have 16 offices worldwide and six media centers.  MX1 is now responsible for distributing more than 1,000 TV channels, managing 440 channels of playout, and delivering content to over 120 subscription VOD platforms.

MX1 and SES’s HD Plus subsidiary will constitute the SES Media Solutions group led by Wilfried Urner.  HD Plus is a HD satellite TV offering in Germany.

Mr. Urner commented on the acquisition as follows, “We are confident that the new MX1 will leverage the expertise and success they have garnered in their respective key markets to expand their product portfolio. The addition of MX1 to the SES group is a first step in globalising SES’s video services business and in accelerating the completion of our goal to become one of the leading next generation media service providers”

Avi Cohen, CEO of MX1, added, “This is an exciting day for us as we introduce a new company to the industry and our new brand name and logo…This merger allows us to scale-up on a global basis and become the world’s leading media services provider, delivering next-generation digital video and media solutions to our worldwide customers.”

 

Related Content:

Press Release: SES Press Release on Completion of the Acquisition

Press Release: MX1 Reveals New Company Brand as a World-Leading Media Services Company

SES to Acquire RR Media for $242 Million in All-Cash Deal

 

 

© Devoncroft Partners 2009-2016.  All Rights Reserved.

 

 

deltatre Acquired by Bruin Sports Capital

Broadcast Vendor M&A | Posted by Josh Stinehour
Jun 30 2016

deltatre is being acquired by investment firm Bruin Sports Capital.  deltatre provides a variety of professional services for multi-platform content delivery within the sports vertical.  Clients include the ATP, BBC, BT Sport, English Premier League, FIFA, and UEFA.  deltatre is headquartered in Turin, Italy with offices throughout Europe.

deltatre had been a subsidiary of Italian parent Mediacontech, who owned all Class A shares, equating to 51% of the share capital of deltatre.  Mediacontech also had a minority interest in LMGR, the business controlling the remaining 49% of deltatre.

As part of an agreement with creditors in late 2013, Mediacontech had pledged to divest deltatre no later than December 31, 2016.  The divestiture process was initiated in the third quarter of 2015 and run by HSBC, who acted as the exclusive financial advisor.

The 2015 annual filing of Mediacontech provides some interesting background on the sale process.  110 potential buyers, both strategic and private equity, reviewed the opportunity to purchase deltatre.  In connection with the sale process, Mediacontech executed 40 non-disclosure agreements to allow for more detailed sharing of information on deltatre.

Based on a press release from Mediacontech the purchase price of the transaction was €122.1 million, with €62.2 million due in cash at closing.  The closing is expected to occur by the end of October 2016.  It is unclear in the press release whether the purchase price equates to an enterprise value.  Sportcal is reporting an estimate of enterprise value of €145 million.  Since the co-founders of deltatre, Giampiero Rinaudo and Luca Marini, are maintaining a significant minority interest (through their ownership position in LMGR), the purchase price likely represents an acquisition of less than 100% of the equity capital.

For the 2015 calendar year, deltatre had revenue of €57.4 million and EBITDA of €8.3 million.  Using the enterprise value figure of €145 million and 2015 financial results, the valuation of deltatre was 2.5x Revenue and 17.5x EBITDA.  Given 2016 is an even year with several significant events in Europe such as the European Football Championship, it is likely 2016 results will outperform 2015.  The sensitivity to the even and odd sporting calendar in Europe is apparent in deltatre’s historical revenue pattern. 2012 revenue was €45.3 million (London Olympics), 2013 revenue was €34.0 million, and then 2014 revenue was €56.5 million (Sochi Olympics).

In the annual filing discussing 2015 results, Mediacontech attributed the strong 2015 results of deltatre to a combination of early initiatives for the 2016 European Football Championship and the Rio Olympics; the successful geographic expansion France, Germany, and Switzerland; and the first European Olympic Games in Baku 2015.

Bruin Capital Sports was launched in January 2015 by sports business executive George Pyne.  Investors in Bruin Capital Sports’ fund include the advertising firm WPP.  Commenting on the deltatre acquisition, Mr. Pyne said “At Bruin Sports Capital we understand the importance of media and technology as tools for global engagement in sport, and believe with our experience and access to long-term flexible capital we can help deltatre continue to innovate and grow their business.”

Giampiero Rinaudo will remain the CEO of deltatre.  “Celebrating our 30th anniversary we believed there was still a lot of potential in deltatre, but we understood that the next level of growth needed a new partner that could really support us in our plans and long-term strategy” Mr. Rinaudo said.

 

 

Related Content: 

deltatre Press Release

 

 

© Devoncroft Partners 2009-2016.  All Rights Reserved.

 

 

AT&T acquires QuickPlay Media

Analysis, Broadcast Vendor M&A | Posted by Josh Stinehour
May 16 2016

AT&T announced today its intention to acquire Quickplay Media, a managed service provider for multi-screen distribution.  Transaction terms were not disclosed.  The deal is expected to close in mid-2016 with AT&T planning to retain more than 350 employees from the Quickplay team.

The acquisition is pending review of the Hart-Scott-Rodino Act in the US and the Competition Act in Canada.  The transaction size threshold for triggering a Hart-Scott-Rodino-Act review is $78 million, so the transaction is at least greater than $78 million – though likely more.

Quickplay had raised more than $195 (CAD) million of capital across six rounds of fundraising.

Private equity firm Madison Dearborn took a majority stake in the business in July 2012 with an investment of approximately $100 million and then subsequently led a March 2015 round of financing for an additional $57 million of capital.

Earlier rounds of series B, C, and D fundraising had raised a combined $37.7 million and included institutional investors General Catalyst Partners, JLA Ventures, and Ventures West.

Quickplay is headquartered in Toronto, with a significant presence in the San Diego area based on its acquisition of network operations center assets from the former Flo TV business in July 2011.  More recently in March 2015, Quickplay had acquired Roundbox, a technology provider for optimizing video applications over mobile networks.

The acquisition builds on an existing partnership between AT&T and QuickPlay.  Quickplay was already supporting AT&t U-verse TV Everywhere offering.  The press release announcing the transaction cited the intention for Quickplay to support the upcoming DirecTV streaming offers of DirecTV Now, DirecTV Mobile, and DirecTV Preview.

Quickplay also supports several other large video distributors including Bell, HOOQ, Rogers Communications, Verizon, and Vodafone.

Commenting on the Quickplay acquisition, John Stankey, CEO, AT&T Entertainment Group stated, “Quickplay’s multitenant IP distribution infrastructure, combined with AT&T’s leading scale in IP connected end points, will allow us to host and distribute all forms of video traffic. We intend to scale and operate an industry-leading video distribution platform, and viewers will get the high-quality online video viewing experience they desire.”

Founder and CEO of Quickplay, Wayne Purboo was quoted in the press release, as follows, “We’ve spent more than a decade developing an advanced technology and service platform that can deliver premium video content to any device and over any network. Our solution is highly automated and scalable. With AT&T, we’ll have the resources we need to further scale, grow the business, and continuously enhance that platform.”

This acquisition follows other purchases of video technology suppliers by large Telecom organizations, including the recent purchase of Volicon by Verizon and the purchase of Ooyala by Telstra.

 

Related Content: 

AT&T Press Release: Acquisition of Quickplay Media

 

 

© Devoncroft Partners 2009 – 2016. All Rights Reserved.

 

 

Francisco Partners Acquires SintecMedia

Analysis, Broadcast Vendor M&A | Posted by Josh Stinehour
Apr 27 2016

Sintec and FP logo

Francisco Partners has acquired SintecMedia, a well-known provider of broadcast business management software.

Financial details of the transaction were not made public. However, according to Reuters, the deal was valued at approximately $400 million.

Francisco Partners is a technology-focused private equity firm.  Francisco has existing familiarity with the media technology sector having purchased Grass Valley from Technicolor in January 2011 .  Francisco operated Grass Valley for nearly four years before exiting the investment in 2014 with Grass Valley’s sale to Belden.

SintecMedia had been owned by private equity firm Riverwood Capital.  Riverwood acquired SintecMedia in 2010 from existing venture capital investors including Walden Israel and Sequoia Capital.  Riverwood then supported SintecMedia through a series of acquisitions including Argo Systems , StorerTV , and more recently Broadway Systems.  In early 2014 Riverwood provided almost half the financing to support Sintec’s acquisition of competitor Pilat Media in a transaction valued at $103.5 million.

In the press release announcing the transaction, CEO and co-Founder of SintecMedia Amotz Yarden, stated, “Nothing is changing in SintecMedia’s business operations. We will continue to play a pivotal role in the way advertising is bought, sold and managed in the diverse media industry and our customers will continue to receive future-proof technological continuity combined with our innovative aptitude and deep domain expertise. I look forward to many years of exciting growth.”

Matt Spetzler from Francisco Partners added, “We have followed SintecMedia for over six years and are thrilled to back the company and its management team as they continue to consolidate their leading position in helping media companies monetize their assets. The broadcast and media industries are entering a phase of innovation and change and SintecMedia is uniquely positioned to help customers capitalize on this opportunity with a strong market position and new products.”

 

Related Content:

Press Release: Francisco Partners Acquires SintecMedia

 

 

© Devoncroft Partners 2009 – 2016. All Rights Reserved.

 

 

Don’t Miss The Media Technology Business Summit at the 2016 NAB Show

Analysis, broadcast industry technology trends, broadcast industry trends, Broadcast technology vendor financials, Broadcast Vendor M&A, Conference Sessions, technology trends | Posted by Joe Zaller
Apr 16 2016

Media Technology Business Summit

1:00pm – 5:00pm, Sunday, April 17, 2016

Las Vegas Convention Center, Room N249

Open to all 2016 NAB Show Registrants

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2016 Devoncroft NAB Media Technology Busienss Summit

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Conference Agenda

1:00pm – Strategic Industry Analysis: Valuations, M&A, and Equity Finance

  • Joshua Stinehour, Principal Analyst Devoncroft

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1:25pm – Follow the Money: Trends Driving Media Investment

  • Joe Zaller, Founder & President Devoncroft

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1:50pm – Change is the New Normal: Transforming for Business Success in the New Media Landscape

  • Ulf Ewaldsson, SVP, Group CTO, & Head of Group Function Ericsson

 

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2:10pm – The Vendor C-Suite: Strategies for an Evolving Market

  • Louis Hernandez, Jr., President & CEO Avid
  • Charlie Vogt, CEO Imagine Communications
  • Larry Kaplan, Founder & CEO SDVI
  • Dan Castles, CEO Telestream

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2:50pm – The Broadcaster C-Suite: Trends Driving Investment Decisions

  • John Honeycutt, CTO Discovery Communications
  • Renu Thomas, EVP Media Operations, Engineering & IT Disney/ABC Television Group
  • Richard Friedel, EVP and GM Fox Network Engineering and Operations
  • Håvard Myklebust, CTO TV2 Norway

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3:30pm – Leveraging Hyperscale IT Infrastructure for Next-Generation Media Workflows

  • Michelle Munson, President, CEO, and Co-Founder Aspera, an IBM Company
  • Michael Koons, VP, Worldwide Systems Engineering Cisco Systems
  • Tom Burns, CTO, Media & Entertainment EMC/Isilon
  • Ulf Ewaldsson, SVP, Group CTO, & Head of Group Function Ericsson

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4:00pm – Service Provider C-Suite: Perspectives on Industry Trends

  • Chris Walters, CEO Encompass Digital Media
  • Ramki Sankaranarayanan, Founder & CEO Prime Focus Technologies
  • Avi Cohen, CEO RR Media

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4:30pm – AWS Keynote – “All In”: Cloud Transformation of the Media Industry

  • Alex Dunlap, General Manager AWS CloudFront
  • Sam Blackman, CEO and Co-Founder Elemental Technologies

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We look forward to seeing you there. Additional information on the Summit is available from the Devoncroft Partners website and the NAB Show website.

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© Devoncroft Partners 2009 – 2016. All Rights Reserved.

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Media Technology CTOs to Discuss What Drives Their Investment Strategies at 2016 NAB Show Conference

Analysis, broadcast industry technology trends, broadcast industry trends, broadcast technology market research, Broadcast Vendor M&A, Conference Sessions, technology trends | Posted by Joe Zaller
Apr 11 2016

If you want to understand what’s driving media technology investments, don’t miss The Broadcaster C-Suite: Trends Driving Investment Decisions” at the 2016 NAB Show.

This moderated panel discussion about how evolving business models will drive media technology spending features four top executives: Richard Friedel- EVP and GM FOX NE&O; Håvard Myklebust – CTO of TV2 in Norway;  John Honeycutt – CTO of Discovery Communications; and Renu Thomas – EVP Media Operations, Engineering and IT at the Disney/ABC Television Group.

 

Devoncroft NAB 2016 Broadcaster Panel

 

This panel is just one of the sessions in the 2016 Media Technology Business Summit, produced by Devoncroft Partners and the NAB Show.

Designed to be a thought-provoking kickoff to the 2016 NAB Show, this half-day conference examines the “the business of the media business” from the perspective of all levels of the media value chain.  It is also an opportunity to network with the media technology executive community ahead of the start of the exhibition.

The Media Technology Business Summit is a half-day conference.  It starts at 1pm on Sunday April 17th, 2016 in room N249 of the Las Vegas Convention Center.

This event has been standing-room only for the past four years.  So please come early if you want a seat.

Admission is open to all registered 2016 NAB Show attendees (remember to bring your NAB Show badge).

Full details are available here, and on the NAB Show website.

 

 

 

© Devoncroft Partners 2009 – 2016. All Rights Reserved.

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Verizon DMS Announces Acquisition of Volicon

Analysis, Broadcast Vendor M&A | Posted by Josh Stinehour
Mar 16 2016

Verizon Digital Media Services announced an agreement to acquire Volicon, a provider of compliance monitoring solutions for the broadcast industry.  Financial terms of the deal were not disclosed.

The acquisition of Volicon adds to Verizon Digital Media Services previous acquisitions in the media technology sector of upLynk in November 2013 and Edgecast Networks in December 2013.

The press release announcing the transaction offered background on the rationale for the acquisition.  Verizon Digital Media Services President Bob Toohey stated, “Volicon’s role as a trusted provider to more than 1,200 broadcast and video operators around the world, combined with deep expertise in video monitoring and analysis, will improve visibility, transparency, and quality of our clients content and ads over our global delivery footprint.”

Commenting on the acquisition, Volicon Founder and CEO Eli Warsawski said, “This undertaking represents a strategic opportunity for our products to evolve and for our customers to greatly benefit.”

Volicon was founded in 2005 and had raised approximately $2 million dollars in two separate fundraising rounds.

 

Related Content:

Verizon DMS Press Release on Acquisition

 

 

© Devoncroft Partners 2009 – 2016. All Rights Reserved.

 

 

 

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