Investcorp Technology Partners (ITP), the technology private equity arm of Bahrain-based alternative investment manager Investcorp, has bought a large minority stake in Thought Equity Motion, a US-based provider of cloud-based video management and footage licensing services, for $28m.
The deal, which will see Investcorp become the largest single shareholder in the company, marks the seventh completed through the firm’s Technology Partners III Fund. The vehicle closed in 2008 with commitments of $500m, exceeding its $400m target.
ITP said it will work alongside Thought Equity Motion’s founders, existing management team and investors to drive growth in its US and international markets.
The company’s T3 Platform supports storage, access, delivery, and monetisation for studios, sports rights holders, and other media companies. Its global footage licensing provides a platform for video producers to license sports, news and entertainment content. It works with video libraries including BBC Motion Gallery, Paramount Pictures, Sony Pictures Entertainment, National Geographic, The New York Times, and the NCAA.
Andrew Flett, a partner at Investcorp in New York, said, “We are delighted to partner with Thought Equity Motion’s management team and shareholders to continue building what is already the fastest growing cloud-based video management service provider.
“With its technology leadership, blue-chip client base and superb management, Thought 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 top-notch portfolio of media and technology companies,” he added.
Reuters recently reported that Investcorp has allocated more than $400m of capital to buy stakes in companies in Turkey and the Gulf Cooperation Council over the next two years.
The firm will invest through Gulf Opportunities Fund I, a $1bn vehicle which is already 50 per cent invested in four MENA-focused deals. The firm is in advanced discussions with four to five companies, in which it plans to invest an average of $60m in each.
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