Avail-TVN Buys SeaChange’s Services Group5/28/2012 12:01 AM Eastern
The Carlyle Group will lead $100 million
of new funding in Avail-TVN, enabling the media-services
firm to acquire U.K.-based On Demand Group
from SeaChange International for $27 million.
With the On Demand Group, Avail-TVN will expand
its reach to more than 25 countries, serving more than
70 million households globally. Carlyle is now Avail-TVN’s largest investor, joining existing backers including
Columbia Capital, Valhalla Partners, Novak Biddle
and Pioneer Ventures.
“Our strategy has been to invest in leading players
across the digital media ecosystem and incorporate
them into one company to build Avail-TVN into
the largest provider of advanced digital video services
worldwide,” Avail-TVN CEO Ramu Potarazu said in a
SeaChange CEO Raghu Rau said the sale of the On
Demand Group 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.”
Earlier this month, SeaChange completed the sale of
its broadcast server and storage business — which has
spun off as XOR Media — to a private investment group.
SeaChange acquired On Demand Group Ltd. in 2005.
The unit manages content acquisition and aggregation,
as well as marketing, programming and other services,
that reach more than 6.5 million households.