New York, NY -- Screenvision, a leading innovator in cinema advertising, and Shamrock Capital Growth Fund II, a leading private equity fund focused solely on media, entertainment and communications investing, announced today the signing of a definitive purchase agreement with UK-based ITV Plc (LSE:ITV) and Technicolor (Euronext Paris: 18453; NYSE: TCH) for a majority stake in Screenvision.
"We have known and have followed the Screenvision story for many years and have always been impressed with its expansive network of over 150 theatrical partners and inventive advertising solutions it offers to its over 4,000 advertising partners," said Stephen Royer, Managing Director of Shamrock. "Screenvision is a compelling advertising buy given its captive audience reach, over 15,000 screens throughout the U.S., and its expansive sales offerings. We are thrilled to be partnering with the current management of Screenvision to build from here."
As part of the transaction, current owner ITV will sell the entirety of its 50% stake to Shamrock while the other owner, Technicolor, will retain a minority shareholding and will continue to be Screenvision's provider of film and digital services, with the film processing and distribution agreement extending through end of life.
"We have been an owner of Screenvision for over ten years and have built this company into what it is today - a leading advertising provider to the cinema industry," said Frederic Rose, Chief Executive Officer of Technicolor. "From a commercial perspective, it made sense for us to keep a minority shareholding and to continue our partnership by providing film and digital services to Screenvision."
"We have always maintained our view that Screenvision is a strong business with great potential, but as we publicly stated, Screenvision was a non-core holdings of ITV and therefore, we are certain it is in great hands with its new owners," stated Adam Crozier, ITV's Group Chief Executive.
Additionally, as part of the transaction, Screenvision has entered into an amended exhibitor agreement with Carmike Cinemas, Inc (NASDAQ: CKEC), one of the largest motion picture exhibitors in the U.S. Carmike will also become a minority shareholder in Screenvision as part of its exclusive agreement with Screenvision.
"We have been a partner of Screenvision for over twenty years and we plan to be a partner for many more," said David Passman, Chief Executive Office of Carmike. "Screenvision has proven to us that it is the preferred solution to partner with because of its independent approach to the cinema industry as well as the creative advertising solutions offered by its excellent sales-force."
"Carmike is a technological innovator in the exhibition community and our partnership has only become stronger with this agreement," said Darryl Schaffer, Executive Vice President - Exhibitor Relations at Screenvision. "This partnership validates Screenvision's ability to support its exhibitor partners with leading-edge cinema advertising solutions."