IP video specialist KIT digital has acquired the IPTV technology provider Benchmark Broadcast Systems for a sum of US $9.5m, the company has announced.
Benchmark Broadcast – an asset management provider and system integrator – operates largely in Asia and the Middle East.
"We plan to cross-sell our VX-one video management platform into Benchmark's existing client base while leveraging Benchmark's on-the-ground presence in South Asia, Southeast Asia and Greater China to expand our business more quickly in the region," said Gavin Campion, president of KIT digital.
The purchase of Benchmark represents a strategic move on KIT digital's part to expand its business in Asia.
“Benchmark was a choice acquisition for us in a number of ways, and one which we have been working on for some time,” said Isaza Tuzman, chairman and CEO, KIT digital.
“This acquisition demonstrates our commitment to the Asian markets and our determination to be the leader in video asset management in the BRIC markets. It also represents an extension to our existing IPTV systems integration capabilities – which support our larger-scale software implementations with broadcasters and network operators,” added Tuzman.
The deal comprises $4.5 million in cash and $5 million in KIT digital common stock. A further $1.1 million will be paid to Benchmark employees over a period of two years.
Benchmark’s clients include Astro, CNBC, Express News, ESPN Star, ETV, MediaCorp, NDTV, Reliance Mediaworks, Sahara, TV9, VTV and ZeeTV.