Online video management software company KIT digital continues its buying spree with the acquisition of Prague, Czech Republic-based Brickbox Digital Media along with its international subsidiaries and affiliates. Brickbox Digital Media is one of Europe’s leading providers of digital video asset management solutions.
The company serves as an intermediary between content owners and distributors, offering products and services that include mezzanine file management, localization, digital cinema mastering, and authoring of media for replication.
Brickbox primarily serves European distributors out of its Prague headquarters and back-office operations in Sofia, Bulgaria, with sales and account management offices in Los Angeles, London and several locations in Central and Eastern Europe (CEE).
KIT digital paid upfront consideration of approximately $10.1 million (after working capital adjustment and $1 million hold-back related to consolidation of Brickbox’s minority interests), comprised of approximately $6.6 million in cash and 339,476 shares of the company’s common stock.
KIT digital also agreed to pay the shareholders of Brickbox consideration equal to 10% of forward revenues from Brickbox over a four-year period, subject to a $20 million annual revenue threshold for each year and certain profitability thresholds.
Brickbox and its affiliates are said to derive approximately $12 million in annualized revenues.
Its clients include Arrow Films, Eagle Rock Entertainment, Momentum Pictures, 20th Century Fox Entertainment, Warner Home Video, Universal Studios, and numerous European content distributors.
KIT digital [NASDAQ: KITD] is a provider of end-to-end video management software and services. The KIT Video Platform, the company’s cloud-based video asset management system, enables clients in the enterprise, media & entertainment and network operator verticals to produce, manage and deliver multiscreen social video experiences to audiences wherever they are. KIT digital services more than 2,300 clients in 50+ countries including some of the world’s biggest brands, such as Airbus, The Associated Press, BBC, Best Buy, Bristol- Myers Squibb,...