Dolby Signs Agreement to Acquire Doremi Labs
Dolby Laboratories, Inc. (NYSE: DLB) today announced it has signed a definitive agreement to acquire Doremi Labs, the leading provider of digital cinema video playback solutions. Together with Dolby’s award winning Dolby Atmos object-based sound platform, Dolby and Doremi will enable exhibitors and content creators to redefine the movie experience for audiences around the world. Dolby is acquiring Doremi for $92.5 million in cash plus an additional $20 million in contingent consideration that may be earned over a four-year period.
“Dolby and Doremi Labs have complementary technology expertise and solutions,” said Kevin Yeaman, president and CEO, Dolby Laboratories. “Together we’ll be able to advance the pace of innovation and create the kind of cinematic experiences that drive movie attendance for our exhibitor partners.”
“For more than 40 years, Dolby has provided innovative technology to the cinema exhibition industry, offering storytellers the tools and technology to express their visions in new ways,” said Camille Rizko, Founder and President, Doremi Labs. “But more importantly, Dolby shares our commitment to working closely with exhibitors to bring amazing experiences to moviegoers.
” The acquisition is subject to customary closing conditions, including review by US and international regulators. Depending on these conditions, the transaction is anticipated to close by the end of 2014. The impact of the acquisition on fiscal year 2014 revenue and non-GAAP results is not expected to be material.
About Dolby Laboratories
Dolby Laboratories (NYSE: DLB) creates audio, video, and voice technologies that transform entertainment and communications in mobile devices, at the cinema, at home, and at work. For nearly 50 years, sight and sound experiences have become more vibrant, clear, and meaningful in Dolby. For more information, please visit www.dolby.com.