Alternative investment manager Investcorp has acquired a ‘significant’ minority stake in video platform company Thought Equity Motion through its technology private equity division.
Alternative investment manager Investcorp has acquired a ‘significant’ minority stake in video platform company Thought Equity Motion through its technology private equity division.
Investcorp Technology Partners, which is headquartered in London, invests in technology-driven businesses primarily in North America and Europe through investments typically between $15-50 million.
The stake in US-based Thought Equity Motion has been acquired for $28 million using its Technology Partners III Fund. The investment makes it the largest single shareholder in the company.
Under the terms of the deal Investcorp Technology Partners are to work alongside Thought Equity Motion’s founders, existing management team and investors to develop its cloud-based video management and footage licensing services.
Andrew Flett, partner at Investcorp, comments: ‘With its technology leadership, blue-chip client base and superb management, Though Equity Motion is well positioned to drive transformation in the video supply chain in the US, Europe and Asia.
‘Thought Equity Motion is a perfect addition to our existing portfolio of media and technology companies.’
On completion Fleet will join the board of directors along with Investcorp managing director and co-head of technology investment team, Hazem Ben-Gacem.
The investment represents the seventh investment made by Technology Partners III Fund. The $500 million fund was raised in the first quarter of 2008, $100 million above its original target.
Kevin Schaff, chief executive officer and founder of Thought Equity Motion, adds: ‘With the explosion of demand for video content, video rights holders are seeking to unlock the value of their assets and make their libraries accessible for next-generation uses.
‘At the same time, the video production community is always seeking to maximise its resources by leveraging high-quality previously shot footage.’
Investcorp Technology Partners has four UK-headquartered businesses in its portfolio including eviivo, Skrill, Sophos and TDX.
