Miranda Technologies Inc.

Miranda Technologies Inc.

September 09, 2010 06:00 ET

Miranda Technologies Acquires IT-Based Playout Pioneer OmniBus Systems

MONTREAL, QUEBEC--(Marketwire - Sept. 9, 2010) - Miranda Technologies Inc. (TSX:MT)

Acquiring leading developer of software systems, with a proven track record and large installed base of blue chip customers:

  • Attaining leadership in fast-growing IT based media management and delivery segment for television and Internet
  • Gaining additional expertise to sell, deploy and support enterprise grade software systems
  • Expected to be accretive to earnings within the first full year of operation

Miranda Technologies Inc. (TSX:MT), a worldwide provider of infrastructure, playout and monitoring systems for the broadcast and cable/satellite/IPTV industries, today announced that it has acquired all of the outstanding shares of OmniBus Systems Ltd., the pioneer of IT-based media management and delivery solutions for television and Internet broadcasters, from Palamon Capital Partners, a leading pan European private equity firm.

The all cash purchase, valued at CDN$48.7 million, will be financed equally between cash on hand (CDN$50.8 million as of June 30, 2010) and an existing credit facility. As of acquisition closing, OmniBus had a net cash position of CDN$6.7 million. The transaction is expected to be accretive to earnings within the first full year of operation, and should generate product and distribution synergies. 

OmniBus Systems, based in Loughborough, U.K., had revenues and EBITDA(1) for the trailing last twelve months ended June 30, 2010 of approximately CDN$24 million and CDN$4.0 million, respectively. The company has a large installed blue chip customer base, including ABC, Ascent Media, Astro, AT&T, BBC, Chellomedia, Corus, Direct TV, Discovery, E!, FOX, SkyPerfect TV, Starz, and Turner.

"With its compelling IT based playout and automation solution, called iTX, OmniBus is leading broadcasters away from multi-vendor, hardware-based systems, towards a single fully integrated, software platform," commented Strath Goodship, Miranda's President and Chief Executive Officer. 

"Over the past four years, iTX has been adopted by many of the world's largest and most successful broadcasters to lower costs and streamline their operations. This next generation platform has proved to be both highly scalable and reliable." 

"The addition of OmniBus, and specifically iTX, allows Miranda to uniquely offer the complete range of playout solutions, from traditional hardware to a fully software-based environment. We are now exceptionally positioned to help our customers transition to more efficient operations, by offering the best fit of hardware and software products to suit their individual requirements."

Mike Oldham, CEO of OmniBus Systems, said "iTX is an award-winning solution on a rapid growth trajectory. By joining Miranda, we will see real product synergies, and gain more extensive worldwide sales and support, creating new opportunities to increase our share of the expanding markets we serve. Importantly, the fit with Miranda is excellent, and the OmniBus team is really excited by the clear potential for our combined businesses."

Based on estimates derived from various sources, including the International Association of Broadcasting Manufacturers (IABM), Miranda believes that the media management and delivery market segment will grow by a compound annual growth rate of approximately 24% over the next 2 years.

Conference call

Miranda Technologies Inc. (TSX:MT) will hold a conference call with financial analysts to discuss the acquisition on Thursday, September 9, 2010 at 11:00 a.m. (ET). Media and other interested parties are invited to join the conference call in listen-only mode. 

DATE: Thursday, September 9, 2010
TIME: 11:00 a.m. Eastern Time
CALL: (416) 981-9000 (for all Toronto and overseas participants)
  (800) 954-0584 (for all other North American callers)
  (Please dial in 15 minutes before the conference begins)
WEBCAST: On line at www.miranda.com or www.marketwire.com.

The webcast of the conference call will be available for a period of 90 days at www.miranda.com and www.marketwire.com. A recording of the conference call will also be available from 1:00 p.m. on Thursday, September 9, 2010 to 11:59 PM on Thursday, September 16, 2010 and can be accessed by dialling 1-800-558-5253and entering the pass code 21481595# on your telephone keyboard.

Forward-looking Statements

This media release may contain forward-looking statements reflecting Miranda's objectives, estimates and expectations. Such statements may be marked by the use of verbs such as "believe", "anticipate", "estimate", "looking ahead" and "expect", as well as the use of the conditional or future tense. By their very nature, such statements involve risks and uncertainties. Consequently, results could differ materially from Miranda's expectations. Risks that could cause results to differ materially from Miranda's expectations are discussed under the heading Risk Factors in Miranda's Annual Information Form, which is available on SEDAR at www.sedar.com. The forward-looking statements contained in this press release represent Miranda's current expectations and, accordingly, are subject to change. However, Miranda disclaims any intention and assumes no obligation to update or revise any forward-looking statement, whether as a result of new information or events or otherwise, unless required to do so by the applicable securities legislation.

About Miranda

Miranda Technologies Inc. (TSX:MT) develops, manufactures and markets high-performance hardware and software for the television broadcast industry. Its solutions are purchased by content creators, broadcasters, specialty channels and television service providers to enable and enhance the transition to a complex multi-channel digital and HD broadcast environment. This equipment allows customers to generate additional revenue while reducing costs through more efficient distribution and management of content as well as the automation of previously manual processes. Miranda employs approximately 570 people at its Montreal headquarters and in its facilities located in Wallingford (UK), Grass Valley (California, USA), Paris (France), Tokyo (Japan), Zaltbommel (Netherlands), Dubai (United Arab Emirates), Beijing (China) and Hong Kong. Miranda is listed on the Toronto Stock Exchange. For more information, please visit www.miranda.com.

About OmniBus Systems

OmniBus Systems provides broadcasting, cable and satellite organizations with comprehensive automation and media content management solutions that address every area of television related operations. Its newsroom, content and workflow automation solutions include acquisition and recording of rich media material, low-resolution editing, media asset management and playout. OmniBus is a global company with headquarters in the United Kingdom and the United States and support offices in Malaysia and Singapore. More information is available at www.omnibus.tv.

(1) Earnings before interest, taxes, depreciation and amortization (EBITDA) is a non-GAAP financial measure. 

Contact Information

  • Media and Investors:
    Miranda Technologies Inc.
    Mario Settino
    Chief Financial Officer