SeaChange plans merger with TikTok rival Triller

SeaChange, a video delivery software specialist, is merging with TikTok rival Triller in a deal that will value the combined company at approximately $5 billion, the companies said.

The transaction is being structured as a reverse merger that will take Triller Hold Co., or “TrillerVerz,” public. Upon closure, the ticker symbol for the combined company is expected to change from "SEAC" currently listed on Nasdaq to the new ticker symbol "ILLR."

"Today, TrillerVerz's combined ecosystem of creators are the younger generations' most recognized and followed brands globally. We believe TrillerVerz is becoming the voice of youth culture, a brand that sits at the nexus of content, creator, commerce, and culture in the digital world. Our strategy is to continue to build the world's largest stage for creators to distribute and monetize viral and engaging content with experiences that elevate culture,” said TrillerVerz CEO Mahi de Silva in a statement. “We believe that combining with SeaChange accelerates our advertising and marketing capabilities by extending our reach to cable, satellite, and OTT media. We believe the proposed business combination will enable investors to participate in the expected growth of TrillerVerz and enable TrillerVerz access to the capital markets, which we believe will help accelerate growth. We are so grateful to the millions of loyal fans who have helped us take TrillerVerz to the next level, without whom this would not have been possible.”

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"The business combination with TrillerVerz represents a tremendous opportunity to invest in the future of creativity. We believe that TrillerVerz's unmatched social media reach, Gen Z engagement, and the opportunity to meaningfully expand its global multi-platform presence across content, commerce, creators, and being at the forefront of e-commerce, adtech, and NFTs, including the metaverse, is a compelling investment with the potential to create significant value,” said SeaChange CEO Peter Aquino in a statement.

Triller, a short-form video-based social media service similar to TikTok, said its platform records more than 750 million user interactions per month, which it said represents 2x year over year growth in user engagement and 5.3x year over year growth in the number of paying users.

The boards of both companies have already signed off on the merger, which is expected to close in the first quarter of 2022 provided it obtains regulatory and shareholder approval. After the merger, the combined company will be led by de Silva, who will also serve as chairman, and Aquino will join the TrillerVerz team.