Kudelski transfers SmarDTV device business to Neotion affiliate

Kudelski transfers SmarDTV device business to Neotion affiliate
Editor
| 14 August 2018

Digital security firm and Nagra parent Kudelski Group has reached an agreement with Neotion to transfer its SmarDTV conditional access module and set-top box businesses to a newly set up entity affiliated with the pay-TV secure solutions firm.

smartdtv 22aug2017 2Upfront cash consideration for the transaction and creation of the new SmarDTV Global amounts to $20 million, with the potential for additional earn-out payments that are primarily based on CAM and set-top box sales volumes in the period up to the end of 2021. The transaction, subject to customary closing adjustments, is expected to close by the end of August 2018.

Kudelski has retained certain assets associated to the SmarDTV brand such as all patents plus buildings in La Ciotat, France and Steeton in the UK. Its operating entities, Nagra and Conax, will continue to manage the commercial relationships with their customers for CAMs and will market and sell SmarDTV Global’s CAMs in their respective markets. Kudelski and Neotion will also work closely together during a transition period to ensure a smooth handover of the relevant business activities.

Commenting on the move, André Kudelski, chairman and CEO of his eponymous company stated: “This transfer of assets to a well-established player is part of the Kudelski Group’s strategy to focus on core activities in which it has or will reach critical mass and profitability to fund on-going growth initiatives. In this transaction, we are placing a lot of attention on preserving our customers’ interests and ensuring their full satisfaction over time.”

Neotion CEO Lionel Boissier added: “Neotion is strongly committed to ensure the continuity and the further development of both SmarDTV Global’s CAM and set-top box businesses, including the further development of an innovative product portfolio for the benefit of SmarDTV Global’s customers.”
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