Telestream, the leading provider of video transcoding and digital media software, has been acquired by private equity investment firm Thoma Bravo, for an undisclosed sum. The current management team including CEO Dan Castles (pictured) remain in place, and the acquisition is designed to give Telestream a fighting fund for further rapid development and acquisitions.
“This move recognises Telestream’s history of market leadership, double-digit growth and profitability,” Castles explained. “That growth would not be possible without our original investors and dedicated team of employees who have demonstrated a strong commitment to our customers. We look forward to our next phase of growth and expansion with Thoma Bravo as we continue to play a leadership role in the digital media industry.”
He pointed to research by leading independent consultancies such as Frost & Sullivan and In-Stat, which suggest that the growing dependence on file-based workflows and multi-platform delivery mean that the transcoder market worldwide is poised for strong growth. “Based on Frost & Sullivan’s analysis, Telestream is the market leader for the global video transcoders market,” said Avni Rambhia, senior industry analyst at Frost & Sullivan.
For new owners Thoma Bravo, Vice President AJ Rohde said: “The video ecosystem continues to grow as customers require increasingly complex tools to manage their end to end video workflows. Thoma Bravo sees significant opportunity in the digital media market, and Telestream is well positioned as a strong platform for increased investment in the industry.”
According to a statement by Telestream, the acquisition will close in early January, and will provide additional capital for further market expansion and acquisition. Its headquarters will remain in Nevada City, California, with European bases in Sweden and Germany. Telestream, the leading provider of video transcoding and digital media software, has been acquired by private equity investment firm Thoma Bravo, for an undisclosed sum. The current management team including CEO Dan Castles (pictured) remain in place, and the acquisition is designed to give Telestream a fighting fund for further rapid development and acquisitions.
“This move recognises Telestream’s history of market leadership, double-digit growth and profitability,” Castles explained. “That growth would not be possible without our original investors and dedicated team of employees who have demonstrated a strong commitment to our customers. We look forward to our next phase of growth and expansion with Thoma Bravo as we continue to play a leadership role in the digital media industry.”
He pointed to research by leading independent consultancies such as Frost & Sullivan and In-Stat, which suggest that the growing dependence on file-based workflows and multi-platform delivery mean that the transcoder market worldwide is poised for strong growth. “Based on Frost & Sullivan’s analysis, Telestream is the market leader for the global video transcoders market,” said Avni Rambhia, senior industry analyst at Frost & Sullivan.
For new owners Thoma Bravo, Vice President AJ Rohde said: “The video ecosystem continues to grow as customers require increasingly complex tools to manage their end to end video workflows. Thoma Bravo sees significant opportunity in the digital media market, and Telestream is well positioned as a strong platform for increased investment in the industry.”
According to a statement by Telestream, the acquisition will close in early January, and will provide additional capital for further market expansion and acquisition. Its headquarters will remain in Nevada City, California, with European bases in Sweden and Germany.
