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Synacor to Merge with Qumu to Accelerate Revenue Growth Through New Sales Channels
Thursday 13 February 2020

13 February 2020 - New York-based software and services company Synacor, Inc. (NASDAQ: SYNC) has agreed to a merger with Minnesota-based video content manager Qumu Corp. (NASDAQ: QUMU) in a transaction structed as an all-stock deal, the company said.
Under the terms of the merger agreement, each share of Qumu common stock issued and outstanding as of the effective date of the merger will be converted into approximately 1.61 shares of Synacor common stock.
After closing, Synacor common stock, including the shares issued in the merger, will trade as NASDAQ: SYNC.
Upon closing, Synacor stockholders are expected to own approximately 64.4% and Qumu shareholders are expected to own approximately 35.6% of the stock of the combined company.
The acquisition improves the operating scale and strengthens global presence with the combined business expected to generate more than USD 120m in annual revenue on a pro-forma basis with an estimated USD 70m of software and services segment revenue, USD 50m of which would be recurring, and about USD 50m in continuing portal and advertising segment revenue.
Canaccord Genuity is acting as financial advisor and Gunderson Dettmer is acting as legal advisor to Synacor. Stifel Financial is acting as financial advisor and Ballard Spahr LLP is acting as legal advisor to Qumu.
Synacor, Inc. (NASDAQ: SYNC), a cloud-based software and services company serving global video, internet and communications providers, device manufacturers, governments and enterprises,
Synacor is a cloud-based software and services company serving global video, internet and communications providers, device manufacturers, governments and enterprises.
Qumu Corp. is a provider of tools to create, manage, secure, distribute and measure the success of live and on-demand video for the enterprise.
Details
Date Published: 13/02/2020
Target: Synacor, Inc
Country: USA
Deal Size: 50m (USD)
Sector: Computer Software
Type: Corporate acquisition
Financing: Stock
Status: Agreed
Vendor:
Buyer: Qumu Corp
Comment:
Upon closing, Synacor stockholders are expected to own approximately 64.4% and Qumu shareholders are expected to own approximately 35.6% of the stock of the combined company.

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