Morristown, N.J.—Jul 6, 2006
Access Integrated Technologies Signs Definitive Agreement to Acquire Uniquescreen Media, Inc.
Acquisition of Theatre Advertising Company to Expand Digital Content Revenue Opportunities for Exhibitors
In its first vertical move to increase revenues from its deployed digital cinema systems, Access Integrated Technologies, Inc. ("AccessIT") (NASDAQ:AIXD) today announced it has signed a definitive agreement to acquire privately held UniqueScreen Media Inc. (“USM”). USM is one of the leading movie-theatre advertising companies in North America, currently providing pre-show ads and entertainment to over 3,000 movie screens in over 300 theatres in 42 states.
Under terms of the definitive agreement, AccessIT will acquire 100 percent of the outstanding stock of UniqueScreen. AccessIT expects to convert select USM screens to it digital cinema format. The transaction is expected to close on or about July 31, 2006, and is subject to customary closing conditions.
Based in St. Cloud, Minnesota, UniqueScreen offers theatres a complete cinema adverting service built on a highly flexible digital platform. The company creates and delivers innovative on-screen advertising including its exclusive digital pre-show entertainment program, PreFlix™. Upon completion of the acquisition, UniqueScreen will operate as a unit of AccessIT’s Media Services Group.
"This acquisition represents a major two-fold boost for AccessIT. Not only because it will be highly accretive, doubling our last year’s revenue and contributing substantial positive cash flow, but its management team is one of the best in the in-theatre advertising business,” said Bud Mayo, chairman and CEO of AccessIT. “Furthermore, the deal will bring tremendous strategic value to the company as we seek to expand domestically and internationally into new vertical markets and add Unique’s customers and others to the growing list of exhibitor partners in our deployment plan with Christie Digital Systems.”
Bob Martin, President of UniqueScreen Media, Inc., commented: “AccessIT is the clear leader in enabling exhibition to transition to digital cinema, providing both the expertise and tools necessary. The synergies in our two businesses are obvious and we share the same goal – to create and deliver solutions enabling exhibitors to capitalize on important new revenue opportunities by leveraging digital technology. We look forward to the opportunity of working together to bring to our clients the many benefits of digital cinema.”