Ascent’s post business sold to Deluxe25 November 2010
Ascent is keeping hold of its content distribution and systems integration businesses, though a statement says that it is ‘pursuing strategic alternatives for both business units’ so the future for them looks uncertain as well. But it is definitely selling its entire post business to Deluxe, including such well-known post houses as Ascent 142 and Rushes in the UK (whose businesses account for 21% of the purchase price) and Company 3, Encore Hollywood and Level 3 Post in the US.
Ascent Media is still a relative fledgling in the industry, having been spun out of previous owner Discovery Communications and operating as a separate entity as recently as 2008. However, since then it has failed to make a profit despite Group-wide yearly incomes to the north of $200m. Still, as the Hollywood Reporter points out, its ongoing commitments in the TV and commercials post market give the digital service and film-oriented Deluxe a ready entrance into new revenue streams for the company.
Statements from both companies talk of the deal being subject to customary closing conditions and expected to close by the end of the year.