Macrovision Solutions Corporation (NASDAQ: MVSN) today announced that it
has reached an agreement to sell its TV Guide Magazine property to
OpenGate Capital. The transaction is expected to close approximately
December 1, 2008. The completion of the transaction is subject to
customary closing conditions but is not subject to Macrovision
stockholder approval.
The divestiture of TV Guide Magazine is consistent with Macrovision’s
plans, outlined in January 2008 following the company’s
announcement of the acquisition of Gemstar-TV Guide. Macrovision is
focused on providing technology solutions and TV Guide Magazine was
identified as a business not aligned with that core corporate strategy.
Today’s sale of TV Guide Magazine is a
continuing step in Macrovision’s execution of
its strategy and direction.
"A primary goal of the Gemstar-TV Guide
acquisition was the consolidation of key technology assets, including
the interactive program guides, connected services and device
connectivity needed to provide consumers with a uniquely simple digital
home entertainment experience. The TV Guide Magazine divestiture marks a
significant milestone towards achieving this goal as the streamlined
business model improves the company’s ability
to execute its strategic plan,” said Fred
Amoroso, President and CEO of Macrovision.
Today’s consumers dictate how and when they
engage with all forms of digital media. Macrovision sees music, movies,
photos, videos and television programs transforming into personalized
catalogs that users will be able to search, access and expand at the
touch of a button. Interactive programming guides (IPGs), video and
entertainment guidance technology and services added through the
Gemstar-TV Guide acquisition position the company firmly at the center
of this emerging entertainment landscape.
"TV Guide Magazine is a powerful media brand
that serves the television and entertainment community by providing a
combination of breaking news, behind-the-scenes features and photos, and
exclusive stories on television’s biggest
shows and stars,” said Andrew Nikou, Founder
& Managing Partner, OpenGate Capital. "TV
Guide Magazine’s president, Scott Crystal,
and his management team, have done an outstanding job leading the
unprecedented transformation of this entertainment industry icon. We are
excited that Scott will lead the way as we build upon this success by
investing in OpenGate Capital’s media and
entertainment platform.”
"I am thrilled to continue the exciting
journey leading TV Guide Magazine to new heights,”
said Scott Crystal, President, TV Guide Magazine. "It
is truly an ideal fit, since our new owners are committed to taking TV
Guide to the next level in terms of their investment and desire to
expand our unique franchise.”
The TV Guide Magazine business had been previously classified by
Macrovision in discontinued operations. No gain or loss will be
recognized for financial reporting purposes by Macrovision as a result
of this divestiture.
About Macrovision Solutions Corporation
Macrovision is focused on providing a uniquely simple digital home
entertainment experience by delivering solutions to businesses to
protect, enhance and distribute digital goods to consumers across
multiple channels. Macrovision’s technologies
are deployed by companies in the entertainment, consumer electronics,
cable and satellite, and online distribution markets to solve
industry-specific challenges and bring greater value and a more robust
user experience to their customers. The result of deploying Macrovision’s
solutions is a simple end user experience for discovering, acquiring,
managing and enjoying digital content. Today, Macrovision provides
connected middleware, media recognition, interactive programming guides,
copy protection and rich media, data and metadata on music, games,
movies and television programming. The company also operates
entertainment portals including http://www.tvguide.com
and http://www.allmusic.com.
Macrovision holds over 4,000 issued or pending patents and patent
applications worldwide.
Macrovision is headquartered in Santa Clara, California, with numerous
offices across the United States and around the world including Canada,
Japan, Hong Kong, Luxembourg, and the United Kingdom. More information
about Macrovision can be found at www.macrovision.com.
About OpenGate Capital
OpenGate Capital is an opportunistic private equity firm that acquires
controlling interests in businesses with solid fundamentals which
exhibit opportunities for operational improvements and growth.
Established in 2005, OpenGate Capital has a global footprint with
headquarters in Beverly Hills, California and a principal office in
Paris, France. OpenGate is served by a seasoned team of M&A and
operating professionals that bring the skills needed to acquire, operate
and build successful companies. The partners of OpenGate have executed
over 50 transactions worldwide ranging from corporate divestitures,
turnaround acquisitions, industry consolidations and other special
situations investments across a wide array of industries and
geographical markets. For more information on OpenGate Capital, please
visit our website at www.opengatecapital.com.
© Macrovision 2008. Macrovision is a
registered trademark of Macrovision Solutions Corporation. All other
brands and product names and trademarks are the registered property of
their respective companies
Forward Looking Statements
All statements contained herein that are not statements of historical
fact, including statements that use the words "will" or "is expected
to," or similar words that describe the Company's or its management's
future plans, objectives, or goals, are "forward-looking statements" and
are made pursuant to the Safe-Harbor provisions of the Private
Securities Litigation Reform Act of 1995. These forward-looking
statements include, but are not limited to, statements regarding the
focus of the business and the closing of the sale transaction described
herein. Such forward-looking statements involve known and unknown risks,
uncertainties and other factors that could cause the actual results of
the Company to be materially different from the historical results
and/or from any future results or outcomes expressed or implied by such
forward-looking statements. Among the important factors that could cause
results to differ materially are the failure to close the sale
transaction. Other factors are further addressed in the Company's most
recent quarterly report on Form 10-Q for the period ended June 30, 2008
and such other documents as are filed with the Securities and Exchange
Commission from time to time (available at http://www.sec.gov/).
These factors may not constitute all factors that could cause actual
results to differ materially from those discussed in any forward-looking
statement. Macrovision operates in a continually changing business
environment and new factors emerge from time to time. Macrovision cannot
predict such factors, nor can it assess the impact, if any, of such
factors on the company or its results. Accordingly, forward-looking
statements should not be relied upon as a prediction of actual results.
The Company assumes no obligation, except as required by law, to revise
or update any forward-looking statements in order to reflect events or
circumstances that may arise after the date of this release.