One Equity Partners, a middle market private equity firm, is to acquire a majority stake in Media Solutions, a provider of media processing, delivery and TV service platforms, from Ericsson (NASDAQ:ERIC).
Ericsson will continue to own a 49 per cent stake in the Company. Additional terms of the private transaction have not been disclosed.
Over the last several years, Ericsson has transformed Media Solutions’ products with a cloud-enabled, standards-based, integrated end-to-end roadmap. The overall mission has been to advance video service delivery with state-of-the-art infrastructure and software. At the same time, all products and operations have been upgraded to match Ericsson’s carrier-grade standards for reliable telecommunications operations and services.
Upon completion of this transaction, Media Solutions will be positioned as a premier independent pure-play video software technology vendor. Today, all of Media Solutions’ next-generation software products, platforms and services have been reengineered to support rapidly evolving media consumption patterns with microservices-based software and managed services that can be deployed flexibly in both public and private cloud infrastructures.
Angel Ruiz, who will continue to lead Media Solutions as the CEO, says: “The work we have done to integrate and advance our end-to-end roadmap is paying off in strong customer engagement. One Equity Partners brings valuable experience in the media and telecom sectors, and we’re confident that we have found the right partner to further develop and grow the business.”
Andrew Dunn, Managing Director of One Equity Partners, says: “We are thrilled to partner with Ericsson to grow Media Solutions. We look forward to supporting the customers of Media Solutions with continuing investment in strategic technology innovation.”
Jamie Koven, Senior Managing Director of One Equity Partners, says: “Angel and his team have done a great job with Media Solutions. The technology is industry-leading, the customers are world class, and we are excited by the prospect of working with this team on the opportunity ahead.”
Media Solutions employees and contractors, as well as specified assets and liabilities, will transfer to a newly formed company upon closing. Ericsson and One Equity Partners are committed to a seamless transition for employees, customers, partners and suppliers.
OEP has a strong track record investing in and growing market-leading technology businesses, including European IT system and integration provider Lutech, and Zodiac, a supplier of cloud and embedded software solutions to multichannel video programming distributors.
The transaction is subject to customary closing conditions, including regulatory approval.
