Digital broadcast specialist Encompass Digital Media has acquired TIBA Satellite Services, the Latin American-focussed satellite transmission services specialist, for an undisclosed amount.
Encompass pointed to the rapid rise in the Latin American…
Digital broadcast specialist Encompass Digital Media has acquired TIBA Satellite Services, the Latin American-focussed satellite transmission services specialist, for an undisclosed amount.
Encompass pointed to the rapid rise in the Latin American television market as a key driver to the deal.
Since its formation in 1993, TIBA has built up a client portfolio of a number of major US broadcasters, including Fox, DirecTV and Turner Broadcasting, and through these has worked with Encompass on pan-American broadcast transmissions. Central to TIBA’s business is its two teleports in Buenos Aires.
Commenting on the deal, Bill Tillson, president and chief operating officer of Encompass said: ““With the rapid growth of the Latin American market being driven by the demand for Pay TV, an increase in channels due to localization and the conversion from SD to HD, TIBA was the perfect complement to Encompass’ existing facilities and business model.
“This transaction enhances our geographic diversity and our exposure to these developing markets.”
Norberto Alvarez Vitale, TIBA’s CEO, added: “We have been looking for a partner that would augment TIBA’s position from a business perspective and one that would provide a strong cultural fit.
“Encompass was the perfect match; a dynamic partner with global reach that will lead the combined company into a new and successful path of growth.”
At the end of 2011, private equity firm Court Square Capital Partners completed a secondary buyout of Encompass paying around US$475m to funds Wasserstein & Co. and Tennenbaum Capital Partners for a controlling stake. Encompass’ founders, CEO Simon Bax and president Bill Tillson, both retained stakes post-transaction.
Following Court Square’s takeover, a spokesperson for Encompass told SatelliteFinance that the investment would allow the company to continue its policy of gaining scale through acquisitions.
