Merger signals industry consolidation for radio, datacasting,
and digital signage solutions
JOHNS CREEK, GA, Feb. 5, 2014
/PRNewswire/ - Wegener Corporation (OTC Pink: WGNR), a provider of
products for television, audio and data distribution networks
worldwide, today announced that it will be acquired by Novra
Technologies, Inc. in an all stock transaction. This transaction is
subject to Novra's due diligence, the approval of Wegener
Corporation shareholders, and other terms and conditions. Wegener
Corporation previously announced that the Board of Directors had
unanimously approved a Term Sheet for the acquisition. Novra
Technologies, Inc. will also acquire privately held Westport
Research Associates, Inc. of Raytown,
MO.
"This acquisition represents an exciting improvement for Wegener
Corporation and its customers. There are product synergies with
very little overlap that strengthen and broaden the offerings of
the combined companies," stated Troy
Woodbury, President and CEO of Wegener Corporation. "Being
part of the combined companies will improve Wegener Corporation's
financial stability while strengthening the company's management in
all aspects of its operations including sales and marketing,
engineering, and production.
"Joining this new organization represents the end of a difficult
financial period for Wegener Corporation and will renew the
confidence of our customers, shareholders, employees, and our
creditors," continued Mr. Woodbury. "We are working on major
projects in Latin America and we
believe real progress will be made in the domestic digital signage
market during fiscal 2014. Strong improvements have been made in
channel partners and digital signage product capability. We are
encouraged by the opportunities in the future."
"The product portfolio of the combined companies will provide a
powerful suite of capabilities for large-scale networks in radio
broadcasting, business music, broadcast video, digital signage and
IP-TV," stated Harris Liontas,
President and CEO of Novra Technologies, Inc. "Wegener Corporation
and Westport Research Associates, Inc. are not just simple
acquisitions but a merger allowing for the creation of a
solutions-based provider that will offer clients a broader scope of
reliable products and services, strong network control systems,
creative solutions to network communication issues, deeper access
to engineering services and reliable cost effective end-to-end
solutions."
"Representing the first step in Novra Technologies' strategic
vision to combine companies with strong product line, broad install
base and operational synergies, these acquisitions are expected to
be completed in the first or second quarter of 2014."
About Novra Technologies, Inc.
Novra Technologies offers premium products and solutions to the
datacasting and digital signage markets. Novra specializes in the
transmission and reception of IP traffic over satellite, cable and
terrestrial communication links. Products offered include broadband
receivers for DVB-S, DVB-S2, DVB-C, and ATSC systems. Novra's IPE
encapsulator products can be used in both DVB and ATSC MPEG2
systems for datacasting as well as broadband access applications.
The NovraLink digital signage solution integrates Novra's
technologies into a comprehensive multimedia management and
distribution system.
Based in Winnipeg, Manitoba,
Canada, Novra Technologies, Inc. is listed on the TSX
Venture Exchange under the symbol NVI.V. For detailed trading
information select TSX:NVI.V
About Westport Research Associates, Inc.
Westport Research is privately held and provides custom and
innovative solutions to move and manage media assets for background
music, digital signage, weather, broadcast radio, and movie
theaters.
ABOUT WEGENER
WEGENER® (Wegener Communications, Inc.), a wholly-owned
subsidiary of Wegener Corporation (OTC Pink: WGNR), is an
international provider of digital video and audio solutions for
broadcast television, radio, telco, private and cable networks.
With over 30 years experience in optimizing point-to-multipoint
multimedia distribution over satellite, fiber, and IP networks,
WEGENER offers a comprehensive product line that handles the
scheduling, management and delivery of media rich content to
multiple devices, including video screens, computers and audio
devices. WEGENER focuses on long- and short-term strategies
for bandwidth savings, dynamic advertising, live events and
affiliate management.
WEGENER's product line includes: iPump® media servers for
file-based and live broadcasts; COMPEL® Network Control and COMPEL®
Conditional Access for dynamic command, monitoring and addressing
of multi-site video, audio, and data networks; and the Unity®
satellite media receivers for live radio and video
broadcasts. Applications served include: digital
signage, linear and file-based TV distribution, linear and
file-based radio distribution, Nielsen rating information,
broadcast news distribution, business music distribution, corporate
communications, video and audio simulcasts.
WEGENER® can be reached at (770) 814-4000 or at
www.wegener.com.
WEGENER, COMPEL, COMPEL CONTROL, iPUMP, MEDIAPLAN, UNITY,
ASSURED FILE DELIVERY, PROSWITCH, VIDATA, the stylized W-design
logo (for WEGENER®), and the stylized C-design logo (for Compel®)
are all registered trademarks of WEGENER®. All Rights
Reserved.
This news release may contain forward-looking statements
within the meaning of applicable securities laws, including the
Private Securities Litigation Reform Act of 1995, and the Company
intends that such forward-looking statements are subject to the
safe harbors created thereby. Forward-looking statements may
be identified by words such as "believes," "expects," "projects,"
"plans," "anticipates," and similar expressions, and include, for
example, statements relating to expectations regarding future
sales, income and cash flows. Forward-looking statements are
based upon the Company's current expectations and assumptions,
which are subject to a number of risks and uncertainties including,
but not limited to: customer acceptance and effectiveness of
recently introduced products, development of additional business
for the Company's digital video and audio transmission product
lines, effectiveness of the sales organization, the successful
development and introduction of new products in the future, delays
in the conversion by private and broadcast networks to next
generation digital broadcast equipment, acceptance by various
networks of standards for digital broadcasting, the Company's
liquidity position and capital resources, general market conditions
which may not improve during fiscal year 2014 and beyond, and
success of the Company's research and development efforts aimed at
developing new products. Discussion of these and other risks
and uncertainties are provided in detail in the Company's periodic
reports. Since these statements involve risks and
uncertainties and are subject to change at any time, the Company's
actual results could differ materially from expected results.
Forward-looking statements speak only as of the date the statement
was made. The Company does not undertake any obligation to
update any forward-looking statements.
SOURCE WEGENER CORPORATION