Macrovision Closes Acquisition of Gemstar-TV Guide
Combined Organization to Lead the Next Evolution in Digital Home Entertainment Services
Santa Clara - 5/2/2008 - Macrovision Corporation (NASDAQ: MVSN) today announced that it has completed its acquisition of Gemstar-TV Guide (NASDAQ: GMST), a global leader in video and entertainment guidance technology and services. Combining Gemstar-TV and Macrovision technologies positions the company as a key enabler of the digital home entertainment experience.
The resulting company, Macrovision Solutions Corporation, is now focused on bringing together its key assets, such as program guides, connected services and device connectivity. The integrated capabilities will empower consumer electronics manufacturers, system operators, content providers and Web portals to bring innovative products to market faster than ever.
The digital entertainment industry is undergoing a transformation as new business and distribution models emerge to address consumer behavior. Macrovision believes that the result of its integrated solutions will further accelerate this market transition.
"As the digital entertainment industry has recently evolved, we have focused our efforts on enabling our customers to respond to the demand for open, easy-to-use and integrated capabilities that deliver on the promise of the digital home," said Fred Amoroso, CEO and President of Macrovision Corporation. "Gemstar-TV Guide adds important capabilities to our existing portfolio and roadmap for the digital entertainment market. The combination of the two organizations extends the offerings that support the entire value chain associated with providing and managing consumer and commercial content while driving the advancement of the connected home."
"After many false starts and broken promises, the emergence of the connected digital home now seems a foregone conclusion," said Joshua Martin, senior analyst in Yankee Group's Consumer Research group. "The rise of the digital home will have wide-ranging impacts for service providers, consumer electronics (CE) manufacturers, network infrastructure providers and digital home companies. The nimble will unseat lethargic, slow-moving, established players as entrenched competitors who are properly positioned will experience further success."
Shares of Macrovision Solutions Corporation common stock will begin trading on the NASDAQ Global Select Market on May 5, 2008. To retain the ticker symbol "MVSN," which was Macrovision's former ticker symbol, the combined company will initially trade under the temporary ticker symbol "MVSND." On June 2, 2008, the "D" will be removed and the shares will resume trading under the symbol "MVSN." Effective May 5, 2008, the common stock for each of Macrovision and Gemstar-TV Guide will cease to be traded and will no longer be quoted on the NASDAQ Global Select Market. In accordance with the transaction, on an outstanding shares basis, former Macrovision stockholders now own approximately 53% and former Gemstar-TV Guide stockholders own approximately 47% of Macrovision Solutions Corporation.
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