Technology Industry
Industry: Email Alert RSS FeedTiscali buys Video Networks Ltd.
Telecommunications Mergers & Acquisitions, August, 2006 by Anonymous
Broadband service provider Tiscali UK says it will enter the IPW space through an all-stock merger with Video Networks Ltd. (VNL), which operates a triple-play service in London under the HomeChoice brand.
According to a company statement, Tiscali will acquire 100 percent ownership of Video Networks in exchange for which VNL shareholders will get an 11.5 percent stake in Tiscali, which could be increased to 20 percent if "certain performance" targets are reached. After three years, VNL has the right to sell the stake, or Tiscali can buy it back.
The HomeChoice service includes broadcast and pay-TV channels, video-ondemand, and call packages over a broadband line. VNL has been operating video-over-IP services in some form since the late 1990s, but has never been able to...
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