Amino Technologies is to acquire the cloud TV company Entone in a deal worth £46.7 million.
The Cambridge-based IPTV and multimedia distribution company says the purchase of the company, which it saw as a direct competitor would bring with it cost synergies, supply chain enhancement and economies of scale.
It’s the second recent acquisition for Amino, which earlier this year bought the Finnish venture Booxmedia.
“Our financial strength is allowing us to be bolder in our plans for growth. Our acquisition of Booxmedia Oy extended our credibility in customers’ eyes as an innovator in the TV space. Today’s proposed acquisition of Entone takes that credibility one step further still, not only adding excellent product and people to our offering, but transforming the scale of our business too. We enter the second half confidently and are excited by the long-term potential for a bigger, bolder Amino.”
“Bringing together Amino and Entone would create a significant new presence in the pay-TV market with solutions and skillsets that are highly complementary. We share a very similar vision as to how our industry is changing and the kinds of solutions will best help our customers be successful,” added Entone CEO Steve McKay.
Subject to the traditional regulatory approvals the transaction can be expected to complete in the third quarter of 2015.
Announcing its interim results, Amino said strong sales in North America had helped revenues climb by 9% to £17.9 million. Gross profit grew 23% to £9.1 million.