Content security firm The Kudelski Group has agreed to sell its SmarDTV conditional access module (CAM) and set-top box businesses to Neotion for a cash consideration of US$20 million.
The businesses will be transferred to SmarDTV Global, a new entity set-up by Neotion, when the deal closes – which is expected to be at the end of the month.
Under the terms of the deal, Kudelski retained its offices in La Ciotat, France and Steeton, UK, and all patents. Additional earn-out payments may be owed based on CAM and set-top box sales volumes in the period up to the end of 2021.
“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,” said Kudelski chairman and CEO, André Kudelski.
“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 said: “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.”
Kudelski’s 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.
