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- Audinate Group (AD8) has completed its acquisition of the video business of Silex Insight
- The Belgian video business produces video networking products for manufacturers of AV equipment
- The acquisition of the video business complements Audinate’s existing video capabilities in Cambridge, UK
- The all-cash deal includes an upfront payment of US$6.5 million (A$9.1 million) with a revenue eearn-out of up to US$1.5 million (A$2.1 million) payable based on the uplift in revenue
- Audinate Group last traded at $7.99 on January 31
Audinate Group (AD8) has completed its acquisition of the video business of
Silex Insight SA.
The Belgian video business produces video networking products for manufacturers of AV equipment.
The purchase of the video firm complements Audinate’s current video capabilities in Cambridge, UK. It also accords with the company’s strategic strategy for intellectual property protection in video while expanding the company’s capabilities for video hardware engineering.
The all-cash deal includes an upfront payment of US$6.5 million (A$9.1 million).
A revenue earnout of up to US$1.5 million (A$2.1 million) may also be payable based on revenue for the twelve-month period from the acquisition date.
Component shortages are expected to curtail revenue for the first half of this calendar year. The company believes a strong order book will ultimately translate into revenue as supply chain pressures ease.
“We are very excited to acquire a team with widely recognized video hardware expertise and an existing revenue base,” said Audinate Co-founder and CEO Aidan Williams.
“The video codecs and deep product expertise in the team, in combination with our Dante networking technology, will enable us to go to market with a variety of full-service video offerings. This acquisition complements the video software skills in the Cambridge (UK) team we established earlier in the year.
“Together these two deals significantly enhance our video capabilities and know-how – outcomes that have been achieved in only twelve months, notwithstanding the challenges presented by COVID.”
Audinate Group last traded at $7.99 on January 31.
