Rovi acquires TiVo in $. billion deal

Content discovery and data specialist Rovi will acquire DVR company TiVo for $10.70 per share in cash and stock for total consideration of approximately $1.1 billion. The new combined company will continue to be led by Rovi CEO Tom Carson (pictured) and upon closing of the transaction will adopt the iconic TiVo brand as the new company name.

Rovi's acquisition of TiVo, with its innovative products, talented team, and substantial intellectual property portfolio, strengthens Rovi's position as a global leader in media discovery, metadata, analytics, and IP licensing, said Carson. It's an exciting time as the media and entertainment landscape undergoes a significant evolution. The combined capabilities of TiVo and Rovi place us in a tremendous position to extend services across platforms and to a customer base that includes traditional, over the top and emerging players across the globe. By working together, Rovi and TiVo will revolutionise how consumers experience media and entertainment and at the same time build value for our stockholders.

For the twelve months ended 31 December 2016, the combined company is estimated to have more than $800 million in revenue after purchase accounting adjustments. The combined company is expected to realise at least $100 million in annual cost synergies, with 65 per cent of these synergies recognised in the first 12 months

Rovi and TiVo serve pay-TV operators around the world. It is hoped the acquisition will enhance global reach, serving nearly 500 service providers across countries, and adding more than ten million TiVo-served households to Rovi's current base of approximately 18 million households using Rovi guides worldwide. The transaction will create a company with a presence in the consumer, consumer electronic, service provider and web-scale marketplaces, and will benefit from Rovi's experience in areas like metadata, conversational search, and data analytics.

TiVo's cross-device viewership data will merge with Rovi's analytics tools to enable better targeting of media spend, improved advertising inventory yield and the creation of targeted advertising capabilities, the company claims.

We're proud of TiVo's strong innovation history and of the ongoing efforts of our team to provide best-in-class products for our loyal consumer and service provider customers, said Naveen Chopra, interim CEO and CFO of TiVo. This transaction is the culmination of those efforts and the logical next step for TiVo. In joining forces with Rovi, our customers, employees and stockholders will benefit from being part of a more diversified industry leader with significantly greater market opportunities. Our combination creates a more influential global player with a commitment to product innovation, which will be incredibly well positioned to redefine television.

LINK:	http://www.tvbeurope.com/rovi-acquires-tivo-in-1-1-billion-deal/...
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