HALIFAX, July 31, 2014 /CNW/ - DHX Media Ltd. ("DHX" or the "Company")
(TSX: DHX), a leading independent creator, producer, distributor and
licensor of children's entertainment content today announced the
closing of its previously announced deal to acquire Family Channel,
Disney XD, Disney Junior (English-language channel) and Disney Junior
(French-language channel) ("Family Channel Business"). A new business
within DHX comprised of these four channels will be called DHX
Television.
Effective as of close of business today, DHX's Board of Directors
announced that Michael Donovan has been elected Executive Chairman,
Dana Landry has been promoted to Chief Executive Officer, and Michael
Hirsh has been named Vice-Chairman. Steven DeNure remains in place as
President and Chief Operating Officer, adding DHX Television to his
operational responsibilities. Joe Tedesco has been named Senior Vice
President and General Manager of DHX Television, and Keith Abriel,
formerly a consultant to the Company, has joined DHX as Chief Financial
Officer.
"With the closing of this acquisition today and the creation of DHX
Television, we are entering a new and exciting stage of growth as a
fully integrated media content company," said Michael Donovan,
Executive Chairman of DHX. "I feel we have the best possible team in
place. In my new role as Executive Chairman I will continue to direct
strategy and work with the team to ensure that the drive and vision
behind DHX persists well into the future."
Dana Landry, Chief Executive Officer of DHX added: "DHX Media's strength
lies in our creativity and ability to leverage our world-renowned
library of children's brands across the integrated platform we have
assembled with production, global distribution, merchandising and
licensing, and now broadcast. I look forward as CEO to continuing our
focus on both organic and acquisitive growth to further build
shareholder value. Also, I am very pleased to welcome Keith Abriel to
the company as CFO. Keith has a strong history in the capital markets
and has been closely involved with DHX both as an auditor and a tax
consultant."
Steven DeNure, President and Chief Operating Officer of DHX Media added:
"Since we put DHX Media together in 2006, a key to our success has been
our stellar team. Dana has been integral since day one and I look
forward to working with him in his new capacity as CEO to continue
growing the company."
Joining as Chief Financial Officer, Keith Abriel brings more than six
years of experience working as a consultant and Chief Financial Officer
for public and venture-backed private companies, and over nine years of
experience as an auditor with PricewaterhouseCoopers LLP ("PwC"). Since
2010, Mr. Abriel has been providing consulting services to DHX Media
Ltd. mainly in the area of taxation, and other public and private
companies, working closely with management. While with PwC, he served
as the senior manager on DHX Media's year-end audits from 2004 to 2007,
and on the Company's IPO in 2006. A Past President of the Atlantic
Canada CFA Society, Mr. Abriel is a Chartered Accountant and a CFA
Charterholder who began his career with Coopers and Lybrand (now PwC).
Mr Abriel is based in Toronto.
Family Channel Business
DHX has acquired the outstanding shares of a newly formed company,
holding substantially all the assets comprising the business of the
Family Channel Business for cash consideration consisting of
approximately $170M, increased or reduced by a working capital
adjustment. The principal assets of the Family Channel Business
acquired by DHX Media are the Canadian broadcast licenses for Family
Channel, Disney Junior, Disney XD and Disney Junior French.
Concurrently with the closing of this acquisition, the Company
announced that it has also closed its previously announced syndicated
senior Debt Financing. The New Credit Facilities will consist of a term
loan credit facility in the aggregate amount of up to $235M and a
revolving loan credit facility in the aggregate amount of up to $30M.
In addition, a special meeting of shareholders will be held on September
29, 2014 in Toronto. DHX will seek approval of its shareholders to
amend its Articles of Continuance to better facilitate continued
compliance with Canadian control regulations applicable to
broadcasters.
About DHX Media
DHX Media Ltd. (www.dhxmedia.com), a leading broadcaster, creator, producer and marketer of family
entertainment, is recognized globally for such brands as Yo Gabba Gabba!, Caillou, Teletubbies, In the Night Garden, Inspector Gadget, Johnny Test, and the multi-award winning Degrassi franchise. DHX Media Ltd. is the owner of Family Channel, the
most-viewed children's television channel in Canada, as well as Disney
Junior (English & French) and Disney XD. The Company markets and
distributes its library of more than 10,000 episodes of entertainment
programming worldwide, and licenses its owned properties through its
dedicated consumer products business. DHX Media Ltd.'s full-service
international licensing agency, Copyright Promotions Licensing Group
Ltd. (CPLG), represents numerous entertainment, sport and design
brands. DHX Media Ltd. has offices in Toronto, Los Angeles, Vancouver,
Halifax, London, Paris, Barcelona, Milan, Munich and Amsterdam, and is
listed on the Toronto Stock Exchange under the ticker DHX.
Disclaimer
This press release contains forward looking statements with respect to
DHX and the acquisition of four children's channels from Bell Media.
Although the Company believes that the expectations reflected in such
forward looking statements are reasonable, such statements involve
risks and uncertainties and are based on information currently
available to the Company. Actual results may differ materially from
those expressed or implied by such forward looking statements. Factors
that could cause actual results or events to differ materially from
current expectations, among other things, include risks factors
discussed in materials filed with applicable securities regulatory
authorities from time to time including matters discussed under "Risk
Factors" in the Company's short form prospectus dated November 14,
2013, Annual Information Form, and annual Management Discussion and
Analysis. These forward-looking statements are made as of the date
hereof, and the Company assumes no obligation to update or revise them
to reflect new events or circumstances, except as required by law.
SOURCE DHX Media Ltd.
