Encompass Digital Media Enters Definitive Agreement with Court Square Capital Partners
Encompass Digital Media has entered into a definitive agreement with Court Square Capital Partners, a leading private equity firm, under which funds managed by Court Square will acquire a majority interest in the company from selling shareholders including Wasserstein & Co. L.P.
This investment will allow Encompass to continue to expand the range of services and the geographical coverage that it provides to its customers. Under the leadership of Simon Bax and Bill Tillson, the existing management team will remain in place and partner with Court Square to drive the next phase in the company’s expansion. Financial terms of the transaction were not disclosed.
“Encompass is committed to providing our clients with best-in-class services including: network origination and transmission; emerging digital applications; disaster recovery; and occasional-use transmission and backhaul for news, sports, and government services,” said Bill Tillson, Encompass’ President and COO.
Simon Bax, Encompass’ CEO stated, “We have significantly improved and expanded our business since 2008 through our partnership with Wasserstein & Co, growing from our original facility in Los Angeles to a global company with substantial additional operations in Atlanta, New York, Stamford, London, and Singapore. We are confident Court Square will enable us to continue to build upon our strong platform and to seize significant opportunities to provide more value to our customer base by entering new markets and expanding our services.”
“Our investment in Encompass has been one of the most successful in our firm’s history and we wish the Encompass team continued success. Encompass has executed its strategic plan superbly and has created the preeminent provider of outsourced broadcast services,” said Ellis Jones, chairman of Wasserstein & Co. “Court Square is uniquely positioned to help the company build on its achievements and continue to offer world-class services to its clients.”
Macquarie Capital is serving as the exclusive financial advisor to the Company. Munger, Tolles & Olson LLP served as primary legal advisor. The transaction is subject to customary closing conditions, including regulatory clearances, and the transfer of certain FCC licenses. Subject to fulfillment of these conditions, the transaction is expected to close in the first quarter of 2012.