KIT buys Multicast
March 17, 2010
The shakeout of the online video services space continues. KIT Digital, the online video tools player now based in Prague, has bought rival video player Multicast, for about $18 million, a week after it announced closing a $15 million equity offering. Of the $18 million KIT-Multicast deal, $4.9 million is in cash and the rest is in 1.3 million shares of KIT digital common stock, plus the assumption of approximately $4.6 million in long-term liabilities.
Multicast, based in Atlanta, hosts live as well as on-demand video events and focuses primarily on corporate audiences. It says it has about $12 million in annualized recurring licensing fees for its IP video management software, with other additional revenues related to professional services.