Vecima Networks announced Tuesday (January 2) that it has closed its proposed $29 million acquisition of Concurrent Computer Corp.’s content delivery and storage business.
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The deal, announced in October 2017, will help Canada-based Vecima diversity further into the VOD and IP video content delivery sector, complementing a business that has been focused video decoders, products targeted to the commercial and hospitality industry, as well as DOCSIS 3.1-based network access gear.
Via the deal, Vecima will also inherit tech and product relationships that Concurrent has with MSOs such as Charter Communications and Altice USA, and obtain a relatively new platform that Concurrent has tailored to suit the needs of smaller cable operators.
RELATED: Concurrent Pitches Video ‘Springboard’ to Smaller Cable Ops
Concurrent sold its Real-Time business segment to Battery Ventures for $35 million in cash in May 2017.
Vecima said earlier that it expects that its business will generate more than $5.5 million in annualized adjusted EBITDA after closing, capturing synergies that include the removal of Concurrent’s public company costs.
“Each of our organizations has strengths and expertise that we bring to the table, and together we create a comprehensive networking and entertainment ecosystem capable of delivering class-leading quality, capacity and performance,” Sumit Kumar, president and CEO of Vecima, said in a statement. “With diversified products, a greater market reach, a superior growth profile, and a strong balance sheet, we are well positioned to provide enhanced value to our customers and our shareholders.”
