Image Entertainment Up for Sale?

[WTK]

via The Wrap

Bob Johnson In Talks to Buy Image Entertainment (Exclusive)
Published: March 29, 2012 @ 5:16 am

Bob Johnson, the founder of BET, is in talks to buy Image Entertainment, a home entertainment company with a deep library specializing in content for the African-American community, TheWrap has learned.

A spokeswoman for Image Entertainment confirmed that Johnson was in talks to buy the company, but said a deal was still several weeks away. "They are in talks," said the spokeswoman, without offering further detail.

A spokesman for Johnson could not immediately be reached.

A publicly traded company, Image Entertainment (NASDAQ: DISK) produces, distributes and licenses film & television productions in North America. It boasts more than 3,700 owned or licensed titles. The company's revenues decreased 4.4% in 2011 to $88,959,000 from $93,070,000 for fiscal 2010, according to the company's annual report. Its profit margin increased to 23% compared to 20.1% the year before...

[Tratious]

their last buyout failed, and they got a lot on money for having the deal fail last time.

[WTK]

via Deadline.com

Robert Johnson Agrees To Buy Image Entertainment And Acorn Media
Monday April 2, 2012 @ 7:13am EDT

ETHESDA, Md., April 2, 2012 – Robert L. Johnson, Chairman of The RLJ Companies and founder of Black Entertainment Television (BET), announced today that RLJ Acquisition, Inc. (OTCQB: RLJAU; RLJA; RLJAW) (the “Company”) has entered into agreements to acquire each of Image Entertainment, Inc. (OTCQB:DISK) and Acorn Media Group, Inc., two highly complementary media businesses to create one of the largest independent distributors of digital and video content globally. The new combined company will be named RLJ Entertainment, Inc. Shares of the new company are expected to trade on the NASDAQ Stock Market. RLJ Entertainment, where Johnson will serve as Executive Chairman, and will leverage his substantial expertise in media, consumer branding, and strategic relationships to accelerate growth and drive value creation.

Under the terms of the agreements, the holders of common stock of Image Entertainment will receive from RLJ Entertainment 2,139,000 shares of common stock of RLJ Entertainment and the holders of preferred stock of Image Entertainment will receive aggregate consideration of $22,600,000, which will be paid in cash and in the form of promissory notes to the holders of preferred stock of Image Entertainment. The shareholders of Acorn Media Group will receive $105 million in cash, 1,000,000 shares of common stock of RLJ Entertainment and warrants to purchase 1,000,000 shares of common stock of RLJ Entertainment. After the completion of the business combination, the current stockholders of Image Entertainment and Acorn Media Group will own approximately 11% and 5% of RLJ Entertainment, respectively, assuming no redemptions. The current stockholders of the Company will own approximately 74% of RLJ Entertainment, assuming no redemptions.

The business combination is subject to approval of the Company’s and Image Entertainment’s respective stockholders, as well as regulatory approval and other customary closing conditions. Assuming these conditions are met, the business combination is expected to be completed by the end of the second quarter of this year.

As Executive Chairman of RLJ Entertainment, I am looking forward to this unique business combination of Image Entertainment and Acorn Media Group,” said Johnson. “RLJ Entertainment will have a broad strategy for financial growth by providing content to all media platforms including broadcast and cable, DVD and Blu-Ray, digital downloads, and digital streaming. Image Entertainment is a leader in the urban, indepedent film, comedy, and horror genres, and Acorn Media Group, founded by Peter Edwards, who will serve as Vice Chairman of RLJ Entertainment, is a dynamic, brand-oriented company that provides engaging British drama, such as the Agatha Christie library, to its target audiences. I am excited to work with the management team to run a company that will increase the opportunity for independent and urban-oriented producers to reach a broader audience across the expanding number of media outlets. In a growing demand for global content, RLJ Entertainment will be well positioned by having a presence in the United States, Canada, Australia, and the United Kingdom,” Johnson concluded.

Image Entertainment is an integrated home entertainment company which primarily acquires and distributes entertainment programming across all media channels including digital, and is a leading independent licensee and distributor of entertainment in North America. Acorn Media Group is a leading independent distributor of British television programming to consumers in North America, and distributes in Australia and the U.K.

“I believe combining Acorn Media Group with Image Entertainment under the RLJ Entertainment brand and with Bob Johnson as Executive Chairman provides us with a more robust content library and a larger platform for continued growth,” said Ted Green, Chairman and Chief Executive Officer of Image Entertainment, who will serve as the Chief Executive Officer of RLJ Entertainment after the completion of the business combination.

“I am thrilled that Acorn Media Group, a company founded with a vision for British programming and a direct to consumer channel, will become part of RLJ Entertainment,” said Miguel Penella, Chief Executive Officer of Acorn Media Group. “We expect to greatly benefit from Bob Johnson’s vision as we continue to acquire library content and build Acorn TV,” he concluded.

[WTK]

via Home Media Magazine

Image Entertainment, Acorn Media Become RLJ Entertainment
3 Oct, 2012

Image and Acorn cease operating as separate companies

RLJ Acquisitions Oct. 3 said it formally completed the $127 million acquisition of Image Entertainment and Acorn Media, creating publicly held RLJ Entertainment Inc.

The new company is headed by Ted Green, former CEO of Image Entertainment, while former Acorn CEO Miguel Penella, assumes the title of COO. Image, which is based in Chatsworth, Calif., and Washington, D.C.-based Acorn will continue at their existing locations operating under the RLJ Entertainment moniker.

Shares of RLJ Entertainment common stock will be traded on the NASDAQ capital market under the stock ticker symbol RLJE. RLJ Entertainment warrants will be traded on the over-the-counter bulletin board. The company expects that payments to holders of its shares of common stock that redeemed their shares will be made promptly following the closing of the business combination.

The merger was approved last month by Image’s and Acorn’s respective shareholders, making RLJ Entertainment one of the largest independent global distributors of digital and physical media content.

RLJ Acquisitions is headed by Bob Johnson, founder of BET (Black Entertainment Television), who holds the title of chairman of The RLJ Companies, including RLJ Entertainment, which is based in Bethesda, Md.

Johnson said he intends RLJ Entertainment to focus on exploiting Acorn’s British-centric content across all distribution channels, including recently launched Acorn TV. Separately, Johnson envisions mining Image’s 800 hours of urban content into a viable digital distribution platform.

“RLJ Entertainment’s goal is to become a preeminent distributor of content to all media platforms, including DVD and Blu-ray, digital downloads, digital streaming, and broadcast and cable,” Johnson said. “We are also committed as part of our business strategy, to leveraging our experience in acquiring, distributing, and monetizing content to create branded digital subscription channels over the Internet targeted to distinct audiences that are underserved by current media platforms and interested in programming that appeals directly to their unique viewing interests.”

Distribution channels include YouTube, whereby RLJ Acquisitions recently teamed up with Tracey Edmonds to launch a faith-based channel.