TV Everywhere tech company Synacor has acquired streaming startup NimbleTV for an undisclosed sum.
Buffalo-based Synacor describes the deal as an "aqui-hire," in which it will take on New York-based NimbleTV's 13 employees while integrating the company's technology.
"We are adding to Synacor a team steeped in video expertise, as well as an acquisition of technology that will enable us to deploy an authenticated, linear TV service on behalf of our clients," said Himesh Bhise, Synacor's CEO.
NimbleTV shut down a service on Monday that had offered New York-area pay-TV subscribers cloud-based access to programming on IP devices. It touted 80,000 subscribers before announcing expansion plans into Chicago in August.
Its message to subscribers on Monday was that it was going to dark to "concentrate on developing something even better and more amazing than before."
The company had raised $6 million in venture capital from sources including Tribune, Tribeca Venture Partners and Greycroft Partners.
Synacor, meanwhile, is looking to move forward under new CEO Bhise after more than a year of slow sales, boardroom turmoil and sagging share prices. The company's stock is currently trading at $2.36 a share after nadiring out at $1.55 on Dec. 19.
"Synacor has an important role to play as streaming video consumers--OTT and TV Everywhere--proliferate," Bhise added. "We see a fragmented landscape of vendors and believe our customers are looking to Synacor as a one-stop, trusted partner. NimbleTV is another step toward expanding our team and platform to deliver end-to-end, advanced video solutions. And we will continue to work with partners in the video ecosystem to assemble best-in-class technologies to deliver video solutions for our clients."
"For NimbleTV, becoming part of Synacor's unique business model and layering into Synacor's video product roadmap is a logical and exciting next step," said NimbleTV CEO Anand Subramanian. "We bring consumer-tested video technology and patents to the table at a time when Synacor customers are looking to leverage new advancements with OTT and TVE video, especially live linear. All of us on the NimbleTV team are truly excited about becoming part of Synacor."
Multiscreen provider NimbleTV expands to Chicago, draws scrutiny from pay-TV lawyers
Synacor takes new tack with syndicated content, teams with BuddyTV
Synacor cuts 70 jobs, 20% of workforce
Frankel era ends at Synacor as former CEO steps down from board