Canadian satellite solutions firm International Datacasting Corporation (IDC) has sold its broadcast products business to US telecoms technology specialist Pico Digital.
The US$4.1m acquisition includes IDC’s product portfolio, customers, and supplier…
Canadian satellite solutions firm International Datacasting Corporation (IDC) has sold its broadcast products business to US telecoms technology specialist Pico Digital.
The US$4.1m acquisition includes IDC’s product portfolio, customers, and supplier relationships. The majority of IDC’s staff are also expected to join the group, which offers a complementary range of broadcast technology.
Ian Lerner, Pico’s CEO, said: “IDC has been at the forefront of innovation in the satellite industry for many years. We are very excited to add IDC’s product portfolio to our line-up of market leading solutions.”
Pico has also provided a US$1m bridge financing facility to IDC, in exchange for a promissory note and a related security deal that is in its favour.
The deal does not include certain IDC assets, such as its intellectual property, and the Canadian firm said the strategic review it launched after being approached in February will continue to look at options for them.
IDC’s strategic review saw its CEO Doug Lowther announce plans last month to leave the group once the work of its strategic committee is complete.
A shareholder meeting will be held in June to approve Pico’s acquisition, which is also subject to regulatory clearance.
If IDC receives a superior offer for substantially all of its assets, or at least 90% of its common shares, Pico will have the right to match it over a period of seven working days. Its deal is also tied to a US$200,000 break-up fee.
California-based Pico was advised by Pantek Partners.
