Qube Cinema Technologies and UFO Moviez announce merger of their businesses
03/11/2017
Published on Wednesday, November 1, 2017
Mumbai, Novermber 1, 2017 - The Boards of Directors of UFO Moviez India Limited ( UFO ) and Qube Cinema Technologies Private Limited ( Qube ) (formerly Real Image Media Technologies Private Limited), at their meetings held on 1 November 2017, approved a Composite Scheme of Arrangement and Amalgamation ( Scheme ), amongst UFO, Qube, Qube Digital Cinema Private Limited ( Qube Digital ), Moviebuff Private Limited ( Moviebuff ) and PJSA Technosoft Private Limited ( PJSA ), pursuant to the provisions of Section 230 to 232 and other relevant provisions of the Companies Act, 2013.
Qube, Qube Digital and Moviebuff are part of the Qube group whereas PJSA is a wholly owned subsidiary of UFO.
The proposed transaction is being carried pursuant to the Scheme on the basis of which Qube's business of providing technology solutions and services in the film, video and audio domains, including digital cinema advertising will be first demerged into Qube Digital and then subsequently merged with UFO pursuant to certain intermediate steps as approved by the Boards of Directors of the aforementioned companies. The merger ratio based on relative Valuation stands at 63.6% for UFO and 36.4% for Qube Digital.
One of the intermediate steps mentioned above will include ICICI Venture (through certain private equity funds managed or advised by them) along with UFO purchasing a stake in Qube Digital from certain private equity investors who have been shareholders of Qube for several years. Qube Digital's shares purchased by UFO will stand cancelled post-merger. The proposed transaction is expected to further solidify the merged entity's position in India's digital cinema distribution and in-cinema advertising industry. As on June 30, 2017, the combined entity, for its in-cinema advertising platform will have a presence across 7,300 digital screens spread across India with a seating capacity of 95.5 million per week.
The proposed Scheme is subject to the requisite statutory and regulatory approvals.
Rationale of the proposed transaction:
UFO and Qube are engaged in the business of digital cinema distribution and operate in-cinema advertising platforms. Considering the existing entertainment and advertising market dynamics, the proposed merger of the two companies will lead to robust growth opportunities in India and globally and will create greater value for their respective shareholders.
UFO currently uses MPEG4 technology for the transmission of content into e-Cinema theatres whereas Qube uses MPEG2 technology for e-Cinema theatres and has also developed its own DCI compliant servers. Going forward, it is expected that the combined entity will develop and deploy both D-Cinema and e-Cinema systems that incorporate the best features of the multiple technologies available to the company and will thus be in a position to offer its clients viz: the film industry and advertisers a comprehensive bouquet of services.
Both UFO, with 4,000 advertising screens, and Qube, with 3,300 advertising screens, have large advertising networks. The two companies also have complementary geographical strengths with Qube having a deeper penetration in South India and UFO having a similar presence in the rest of India. The merged business will therefore be able to offer a pan India in-cinema advertising network covering over 7,300 screens, significantly improving the overall value proposition for clients. The two companies also have complementary strengths in terms of client base, presenting attractive cross-sell opportunities.
Further, the proposed merger would bring about synergies of operations and benefits of scale by minimizing the duplication of administrative functions, combining some infrastructural requirements and unifying legal and regulatory compliances.
Qube has developed Qube Wire which is a self-service, single-window system for global theatrical distribution. With a simple but comprehensive user interface, distributors can manage their DCP assets, assign territorial rights and have their content and keys delivered to any theatre in the world. Theatres can manage their own digital cinema system details and access their Universal Inbox on the Qube Wire service as well.
This service is currently in the process of commercialization but is already in operation on a limited-scale serving select clients. UFO, in addition to its screen network in India, also has a network of screens overseas. The combined network, post-amalgamation, will allow faster monetization of Qube Wire and other IP based Qube products, both within India and internationally.
The combined entity is also expected to leverage ICICI Venture's significant prior experience as a private equity investor in new age businesses, including media and technology.
Sanjay Gaikwad, Founder and Managing Director of UFO Moviez India Ltd., said
We are excited to combine our business with such a strong partner. Qube has not only built a strong digital cinema and in-cinema advertising network in India but has also developed interesting technology products relating to film business for global application. The combined Company would have a stronger position in India's digital cinema distribution and in-cinema advertising industry. The combination will bring together capabilities, talent, strong processes of both Companies and we together look forward to creating value for the entire Cinema value chain.
Senthil Kumar, Co-founder of Qube Cinema Technologies Pvt. Ltd., said
We are excited to partner with UFO and believe that the combination of the proven business models of the two companies would be extremely beneficial. Together, we will create a robust network offering digital cinema and in-cinema advertising services. UFO
LINK: | https://www.qubecinema.com/news/qube-cinema-technologies-and-ufo-movie... |
See more stories from qube |
Most recent headlines
04/08/2024
Dalet Appoints Santiago Solanas as CEO to Lead Next Era of Growth and Innovation
Dalet, a leading technology and service provider for media-rich organizations, is excited to announce Santiago Solanas as its new Chief Executive Officer (CEO)....
03/06/2024
Dalet and Veritone Reach Agreement to Distribute, Transact and Monetize Media Archives
Dalet, a leading technology and service provider for media-rich organizations, a...
02/05/2024
Samba TV Launches New Generative AI Ad Solution
NEW YORK Samba TV is debuting new capabilities for Samba AI, the company's suite of generative AI technologies. Samba AI's new capabilities provide a re...
02/05/2024
Television Academy Foundation Names Anne Vasquez Executive Director
LOS ANGELES The Television Academy Foundation has announced the appointment of Anne Vasquez as its executive director effective May 13....
02/05/2024
SAG-AFTRA to License Nielsen Streaming Data
NEW YORK SAG-AFTRA has inked a deal with Nielsen to become its third-party provider of streaming content measurement and has announced that it will use the Niel...
02/05/2024
Cineverse Unveils Public Beta of AI-Powered cineSearch
LOS ANGELES Cineverse has debuted cineSearch, its previously announced new content search and discovery service in public Beta....
02/05/2024
Can AI find a way to reduce the broadcast industry's energy consumption?
OpenDrives Trevor Morgan asks if AI has the answer to making data centres for the media and entertainment industry more sustainable By Contributor Published:...
02/05/2024
Bill Baggelaar Asks the Questions: An Unfiltered Look at Media Supply Chain Transformation
Bill Baggelaar Asks the Questions: An Unfiltered Look at Media Supply Chain Tran...
02/05/2024
Two Boston Conservatory at Berklee Alums Nominated for Tony Awards
Two Boston Conservatory at Berklee Alums Nominated for Tony Awards An additional eight alums and two current students performed in nominated productions. By...
02/05/2024
Viewers Call Finding New TV Content Frustrating' in Comcast Advertising Report
A majority of viewers 51% said the difficulty in finding new content on TV c...
02/05/2024
Programming Legend Art Moore Retiring After 53 Years With ABC Stations
Art Moore, who headed production of long-running syndicated series, including Live, said he plans to retire in September as VP of programming for WABC New York....
02/05/2024
Nexstar Will Move The CW Affiliation to WGN Chicago
Nexstar Media Group, which owns The CW, said the network's affiliation will be moving to Nexstar-owned WGN Chicago....
02/05/2024
Future Today Puts First Original Shows on Fawesome Channel (NewFronts)
Future Today said that it plans to launch the first original shows on its Fawesome streaming channel....
02/05/2024
Behind the Music' Returns on Paramount Plus
Behind the Music is back on Paramount Plus with new episodes May 1. Those profiled in the season two episodes are Bell Biv DeVoe, Trace Adkins and Wolfgang Van ...
02/05/2024
All American: Homecoming' Returns on The CW July 8
All American: Homecoming starts season three on The CW Monday, July 8, while season two of 61st Street kicks off Monday, July 22....
02/05/2024
Jerry Seinfeld's Pop-Tart Movie Starts on Netflix May 3
Unfrosted, a movie about the race to create a game-changing breakfast pastry, such as, say, the Pop-Tart, debuts on Netflix May 3. Jerry Seinfeld directs, his f...
02/05/2024
Former BT Sport COO Jamie Hindhaugh joins EMG / Gravity Media
Charlie Cubbon has also been appointed chief operating officer By Matthew Corrigan Published: May 2, 2024 Charlie Cubbon has also been appointed chief ope...
02/05/2024
Durable Goods Signs Lionel Coleman
Durable Goods Signs Lionel Coleman Brie Clayton May 2, 2024 0 Comments Durable Goods has signed multi-hyphenate director Lionel Coleman for commercial...
02/05/2024
Hitsujibungaku's Music Video GO!!! Shot by Kyotaro Hayashi with Blackmagic Cinema Camera 6K
Hitsujibungaku's Music Video GO!!! Shot by Kyotaro Hayashi with Blackmagic C...
02/05/2024
Diamond Sports RSNs Go Dark On Comcast Systems
Bally Sports Regional Networks were taken off Comcast's systems on April 30 when their existing distribution agreement expired and Diamond Sports Group was ...
02/05/2024
Diamond Sports Group, DirecTV Renew Distribution Deal
SOUTHPORT, Conn. and EL SEGUNDO, Calif. Diamond Sports Group ( Diamond or the Company ) and DirecTV have announced that they have reached a multi-year renewal...
02/05/2024
Three Nexstar Stations to Become CW Affiliates
IRVING, Texas Nexstar Media Group has announced that its owned and operated television stations in Chicago, Illinois (DMA #3), Norfolk, Virginia (DMA #43), and ...
02/05/2024
FCC, FTC Ink Agreement to Cooperate on Net Neutrality Enforcement
WASHINGTON, D.C. The Federal Communications Commission and Federal Trade Commission have signed a Memorandum of Understanding to coordinate consumer protection ...
02/05/2024
Haivision Celebrates 20th Anniversary
MONTREAL Haivision Systems Inc. is marking its 20th anniversary by detailing some of the accomplishments and developments that have helped the company become a ...
02/05/2024
Agora Introduces Adaptive Video Optimization Technology
SANTA CLARA, Calif. Agora today unveiled its Adaptive Video Optimization (AVO) technology that uses machine learning to adjust parameters dynamically at every s...
02/05/2024
Study: Streaming Market Is Saturated But Subscriptions Continue to Grow
NEW YORK Kantar has released a new study showing the U.S. streaming market has hit a saturation point, with the household penetration rate stagnating and at nea...
02/05/2024
Samba TV To Spotlight New Capabilities For Generative AI Ad Solution
NEW YORK Samba TV is debuting new capabilities for Samba AI, the company's suite of generative AI technologies, at the 2024 IAB (Interactive Advertising Bur...
02/05/2024
GSTV Pumps Up Research, Programming at NewFront
GSTV, the network that programs screens at gas stations, will be talking about new research and new programming at its NewFront presentation Wednesday....
02/05/2024
Baselight training. Paris. Les Lapins Bleus. 27-31 May 2024
Baselight accredited training partner, Les Lapins Bleus, is conducting a five day Baselight training course in Paris in May. Location: Paris Dates: 27-31 May ...
02/05/2024
Skeem Saam: Wednesday's episode, 1 May 2024 [video]
Skeem Saam: Wednesday's episode, 1 May 2024 [video]Missed an episode of Skeem Saam? No problem! Watch the latest episode of your favourite South African soa...
02/05/2024
Prison Journalism: It's alright not to have
Prison Journalism: It's alright not to haveWesley Leong was incarcerated at the age of 15 in 1996 at Pollsmoor Prison. He is currently part of Restore's...
02/05/2024
Tonight on Smoke and Mirrors: Thandiswa's quest to reclaim Caesar's house intensifies
Tonight on Smoke and Mirrors: Lulu navigates the complexities of her relationshi...
02/05/2024
GeForce NOW Delivers 24 A-May-zing Games This Month
GeForce NOW brings 24 new games for members this month. Ninja Theory's highly anticipated Senua's Saga: Hellblade II will be coming to the cloud soon -...
02/05/2024
NVIDIA AI Microservices for Drug Discovery, Digital Health Now Integrated With AWS
Harnessing optimized AI models for healthcare is easier than ever as NVIDIA NIM,...
02/05/2024
ARRI announces the ALEXA 35 Live - Multicam System
ARRI announces the ALEXA 35 Live - Multicam System posted: 02/05/2024 Arri Alexa 35 Live - Multicam System ARRI announces the ALEXA 35 Live - Multicam Sy...
02/05/2024
The Women': Author shines light on forgotten women in war
The Women': Author shines light on forgotten women in warThe bestselling author of The Nightingale', Kristin Hannah, has outdone herself with her new h...
02/05/2024
May 01, 2024
New technique improves T cell-based immunotherapies for solid tumors Scripps Research scientists help T cells more effectively kill solid tumors cells in vitro ...
01/05/2024
Release Rundown: What to Watch in May, From I Saw the TV Glow to Power
Owen (Justice Smith) and Maddy (Brigette Lundy-Paine) develop an eerie connection to a supernatural TV show in Jane Schoebrun's I Saw the TV Glow....
01/05/2024
Celebrate May the 4th With Special Star Wars' Playlists, Audiobooks, and More
Spotify's Star Wars celebrations are in full Force starting today, and this ...
01/05/2024
Spotify's New Hardcore Gardening Playlist and Brain Dead Collab Will Rattle Greenhouses Everywhere
All around the world, millions of Spotify fans love listening to hardcore punk m...
01/05/2024
THE CALL FOR THE FIFTH PRESIDENTIAL EMPLOYMENT STIMULUS PROGRAMME (PESP5) FOCUSED ON THE AUDIO-VISUAL INDUSTRY, IS OPEN.
THE CALL FOR THE FIFTH PRESIDENTIAL EMPLOYMENT STIMULUS PROGRAMME (PESP5) FOCUSE...
01/05/2024
QTAKE Pioneers Live 3D Stream to Apple Vision Pro
QTAKE, the leading video assist and on-set collaboration software trusted by professional filmmakers worldwide, launched a new cutting-edge feature at NAB 2024....
01/05/2024
LA County Opens Entertainment Business Interruption Fund Grant Program for Small Business, LAEDC Offers Updates
In HPA's ongoing focus on providing input and insight from city and county g...
01/05/2024
Trailblazing AI Storytelling by Empowering Storytellers: Curious Refuge
HPA Newsline had the opportunity to speak with Caleb and Shelby Ward, founders of Curious Refuge. Caleb and Shelby were participants in the 2024 HPA Tech Retrea...
01/05/2024
Supporting Global Air Traffic Modernization through Managed Services Infrastructure
L3Harris works with air navigation service providers who efficiently manage air ...
01/05/2024
Q&A with Scott Alexander, Aerojet Rocketdyne's new Missile Solutions President
Scott Alexander, Missile Solutions President, Aerojet Rocketdyne...
01/05/2024
Comcast: More Than Half of Viewers Frustrated About Finding Content
NEW YORK Just over half of U.S. viewers are frustrated over their ability to be able to find content to watch on TV according to Comcast....
01/05/2024
Bally RSNs Go Dark On Comcast Systems
Bally Sports Regional Networks were taken off Comcast's systems on April 30 when their existing distribution agreement expired and Diamond Sports Group was ...
01/05/2024
NXTGENbps powers Molinare's Notorious DIT
NXTGENbps battery solutions are designed to replace diesel generators and offer silent, emission-free power for various applications in film, TV, outside broadc...
01/05/2024
Elodie Ichter Joins Light Iron as Senior Colorist
Light Iron, the post-production creative-services division of Panavision, is excited to announce that lodie Ichter has joined the company's artist roster a...