UPDATED 08.45am GMT: US firm SeaChange International has taken another step towards its goal of becoming a pure-play software and services provider by selling its UK-based video content aggregation and management division On Demand Group to US company Avail-TVN.
Avail-TVN bought On Demand Group for US$ 27mn on a cash-free, debt-free basis, and the acquisition looks set to give it a toehold in a number of markets outside the US, as the latter manages VOD content and services on 26 platforms in 20 countries, handling one billion VOD transactions each year in 14 different languages.
Global asset manager The Carlyle Group will lead a US$ 100mn round of new investment funding on behalf of Avail-TVN to enable the purchase. The new round of funding will also be used to drive international expansion and the development of new products and services for the company’s global client base of content providers and multichannel video service providers.
“With the addition of the On Demand Group, Avail-TVN becomes the largest provider of digital video in the world, reaching more households in more countries than any other company in the space,” said Will Smales, associate director, The Carlyle Group. “As the digital video market continues to evolve and mature, the company is poised to capitalise on opportunities around the globe.”
SeaChange International recently completed the divestiture of its broadcast server and storage business to new independent company XOR Media (more details here), as newly-minted permanent CEO Raghu Rau continues his efforts to reposition the company to focus purely on its software and services operations.