SeaChange Completes Sale of Substantially All of its Assets to Enghouse

BOSTON, May 09, 2024 (GLOBE NEWSWIRE) -- SeaChange International, Inc. (OTC: SEAC) (“SeaChange” or the “Company”), a leading provider of video delivery, advertising, streaming platforms, and emerging Free Ad-Supported Streaming TV services (FAST) development, today announced that it has closed its previously announced transaction to sell substantially all of SeaChange’s assets related to its product and services business to Enghouse Systems Limited (“Enghouse”), a leading global telecommunication technology and solutions company that provides next generation communications solutions to communication service providers (including TV / cable operators), media companies, defense, public safety agencies, and utilities, who will also assume certain SeaChange liabilities, for a total purchase price of $39 million, less SeaChange’s cash and cash equivalents at closing (the “Closing”), pursuant to a certain asset purchase agreement and software purchase agreement, each dated April 23, 2024 (the “Enghouse Asset Sale”). The Enghouse Asset Sale resulted in net proceeds to SeaChange in excess of $22.5 million upon Closing.

The Enghouse Asset Sale was approved by SeaChange’s Board of Directors and by a majority of the shares of SeaChange’s outstanding common stock.

“The closing of this asset sale demonstrates our commitment to maximizing stockholder value and to find a larger home for the SeaChange assets within which the business could scale,” said Chris Klimmer, CEO at SeaChange. “With the closing of this transaction, SeaChange would like to express its profound gratitude to the SeaChange employees who have dedicated themselves to providing the highest level of service to our customers. With Enghouse’s remarkable track record of embedding software businesses into their highly efficient operational framework, we look forward to seeing SeaChange thrive within the Enghouse family.”

Needham & Company, LLC is acting as exclusive financial advisor to SeaChange in this transaction, and K&L Gates LLP is acting as legal counsel to SeaChange in this transaction.

About SeaChange International, Inc.
SeaChange International, Inc. (OTC: SEAC) provides first-class video streaming, linear TV, and video advertising technology for operators, content owners, and broadcasters globally. SeaChange technology enables operators, broadcasters, and content owners to cost- effectively launch and grow premium linear TV and direct-to-consumer streaming services to manage, curate, and monetize their content. SeaChange helps protect existing and develop new and incremental advertising revenues for traditional linear TV and streaming services with its unique advertising technology. SeaChange enjoys a rich heritage of nearly three decades of delivering premium video software solutions to its global customer base.