Miranda Technologies Inc has gone shopping for the first time since its IPO last December and come back with high-end graphics automation software and systems specialist VertigoXmedia in its pocket.
The closing of the transaction, expected to take place in early May, is subject to the customary closing conditions, but will allow Miranda to add a powerful suite of software workflow and graphics capabilities to its existing playout branding products. In addition, the VertigoXmedia graphics platform, which provides automated presentation of live graphics, will provide Miranda with a new product range for production environments.
"The demand for live graphics preparation, management and presentation is rapidly increasing as broadcasters strive to create captivating graphics across multiple platforms such as HD and SD television, the web and mobile TV," said Strath Goodship, president and CEO of Miranda Technologies. "We have been a leader in this segment since our acquisition of Oxtel PLC (UK) in 2001. VertigoXmedia is recognised as an innovator in this field. Its unique tools would benefit our customers by enhancing their ability to brand across multiple delivery formats. Furthermore, it reinforces Miranda's competitive edge in the midst of the large-scale HD upgrade cycle which is currently taking place in the broadcasting industry."
The total purchase price is approximately C$11 million, payable in cash, and is subject to adjustments based on the value of net assets being delivered at the closing of the transaction. Under the terms of the agreement, the 25 employees of VertigoXmedia's broadcast division will join Miranda. The digital signage division, which is excluded from the transaction and which employs 10 people, will be spun-off in a new entity independent of Miranda, prior to the acquisition.