Xperi acquires Vewd Software
Accelerates entry into the connected TV space and establishes the TiVo sub-brand as the leading independent streaming media platform
LOS ANGELES, July 29, 2022 /PRNewswire/ — Xperi Holding Corporation (NASDAQ: XPER) (“Xperi” or the “Company”) today announced the acquisition of Vewd Software Holdings Limited (“Vewd”) to $109 million by a mix of cash and debt. Vewd is one of the world’s leading providers of over-the-top (“OTT”) and hybrid TV solutions that are delivered in more than 30 million connected TV devices each year. The acquisition makes Xperi a leading independent streaming media platform through its TiVo brand and the world’s largest independent Smart TV middleware provider.
Additionally, the transaction gives Xperi access to a European installed footprint of approximately 15 million devices that can be activated for monetization, including activation of TiVo+, a free, ad-supported TV service.
Vewd Software Holdings Limited, founded in 2002 with principal offices in Norway, Sweden, Taiwan and Polandis an independent provider of OTT software for Smart TV manufacturers, connected car and broadband video operators.
Over 450 million connected TV devices have been shipped with Vewd Smart TV solutions from customers including Amazon, Commscope, Hisense, Nintendo, Sagemcom, Skyworth, Sony, Swisscom, TCL, TPV Phillips and Vestel.
“Xperi’s TiVo product offerings, when integrated with Vewd’s suite of streaming platform solutions, will help accelerate and scale the deployment of TiVo OS for connected TVs and expand our broadband video,” said Jon Kirchner, CEO of Xperi. “Vewd’s global reach and expertise in providing support to content owners, TV OEMs and SoC partners as they deploy middleware and OS solutions on various devices is extremely valuable and paves the way for opportunities additional monetization as we expand our global footprint of streaming devices.”
“The acquisition of Vewd also bolsters growth prospects for our product business as we prepare to separate our IP and product businesses this fall. We expect an additional $10 million in revenue in the second half of this year. , followed by a substantial increase in revenue and EBITDA contribution in 2023,” added Kirchner.
“We are thrilled to join the Xperi family and look forward to combining the experience, skills and scale of both organizations to deliver new innovations to our customers. Together, we are poised to deliver more engaging experiences to millions of viewers around the world who enjoy the TV shows, sports and movies they love through our platform,” said Anesh RajaramCEO of Vewd.
As part of the acquisition, Xperi will add approximately 275 talented team members who will help further Xperi’s mission of enabling extraordinary experiences for millions of consumers around the world. Vewd’s management team will continue to lead the business and will be integrated into Xperi’s leadership structure.
Safe Harbor Statement
This press release contains “forward-looking statements” within the meaning of the federal securities laws, including Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as than amended. These forward-looking statements are based on the Company’s current expectations, estimates and projections regarding the Company’s acquisition of Vewd. In this context, forward-looking statements often address expected future business, financial performance and condition, and often contain words such as “expect”, “anticipate”, “intend”, ” plan”, “believe”, “could”, “seek”, “see”, “will”, “may”, “should”, “could”, “potentially”, “estimate”, “continue”, “expect” , “target”, similar expressions or the negatives of these words or other comparable terms that convey uncertainty of future events or results. All forward-looking statements, by their nature, address matters that involve risks and uncertainties, many of which are beyond our control, and are not guarantees of future results, such as statements about the anticipated benefits of the transaction. . These and other forward-looking statements are not guarantees of future results and are subject to risks, uncertainties and assumptions that could cause actual results to differ materially from those expressed in the forward-looking statements. Accordingly, there are or will be important factors that could cause actual results to differ materially from those indicated in such statements and, accordingly, you should not place undue reliance on such statements and should exercise caution when you rely on forward-looking statements. Important risk factors that could cause such a difference include, but are not limited to: expected tax treatment, unforeseen liabilities, future capital expenditures, revenues, cost savings, expenses, profits, synergies, the economic performance, indebtedness, financial condition, losses, prospects, business strategies and expansion and growth of the Company’s business; the Company’s ability to implement its business strategy; pricing trends, including the Company’s ability to achieve economies of scale; the Company’s ability to retain and hire key personnel; uncertainty as to the long-term value of the Company’s common stock; legislative, regulatory and economic developments affecting the Company’s activities; general economic and market developments and conditions; failure to remedy material weaknesses in our internal control over financial reporting; changes in the legal, regulatory and tax regimes under which the 4 Company operates; the unpredictability and severity of catastrophic events, including but not limited to acts of terrorism or the outbreak of war or hostilities, including Russia invasion of Ukraine, and natural disasters; the extent to which the COVID-19 pandemic continues to negatively impact our business, results of operations and financial condition will depend on future developments, including actions taken in response to the pandemic, which are highly uncertain and unpredictable; the impact of semiconductor supply chain constraints on our customers; and any plans to separate the Company’s IP and Products activities. These risks, as well as other risks associated with the business, are discussed in more detail in the Company’s filings with the United States Securities and Exchange Commission (“SEC”), including the Company’s annual report. the Company on Form 10-K. Although the list of factors set forth herein and the list of factors set forth in the Company’s filings with the SEC are believed to be representative, no such list should be taken as a complete statement of all potential risks and uncertainties. . Factors not listed may present additional material impediments to the making of forward-looking statements. The consequences of material differences in results from those anticipated in the forward-looking statements could include, among others, business interruption, operational problems, financial loss, legal liability to third parties and similar risks, each of which may have a material adverse effect. on the consolidated financial condition, results of operations, liquidity or market price of the Company’s common shares. The Company undertakes no obligation to publicly provide revisions or updates to any forward-looking statement, whether as a result of new information, future developments or otherwise, if circumstances change, except as securities laws securities and other applicable laws require it.
About Xperi Holding Corporation
Xperi invents, develops and delivers technologies that enable extraordinary experiences. Xperi technologies, delivered through its brands (Adeia, DTS, HD Radio, IMAX Enhanced, TiVo), and by its startup, Perceive, make entertainment more entertaining and smart devices smarter. Xperi technologies are embedded in billions of consumer devices, media platforms and semiconductors worldwide, driving added value for partners, customers and consumers.
Xperi, Adeia, DTS, IMAX Enhanced, HD Radio, Perceive, TiVo and their respective logos are trademarks or registered trademarks of affiliates of Xperi Holding Corporation in the United States and other countries. All other company, brand and product names may be trademarks or registered trademarks of their respective companies.