TANDBERG Television has signed a definitive agreement to acquire SkyStream, a provider of IP video delivery solutions, for $80 million in cash and TANDBERG Television stock. The transaction is expected to close in April 2006.
SkyStream employs approximately 100 people across North America, as well as in the United Kingdom, China and Korea. The company, with more than 300 customers worldwide, posted 2005 revenues of $30.7 million, up 43 percent on 2004, and with a gross margin of 65 percent. More than 50 SkyStream engineers will be retained at their current locations.
Because of the acquisition, TANDBERG Television will expand its technology offering for IPTV and also for the cable, satellite DTH and on-demand markets with complementary solutions from SkyStream. In addition, SkyStream’s presence in the telco regional headend business fits TANDBERG’s central headend IPTV systems and global customer base.
For more information, visit www.tandbergtv.com.