Update: Prime Focus has informed BSE (pdf) that it has completed the acquisition of DAX. Earlier: Prime Focus Technologies (PFT), the technology subsidiary of the BSE-listed media & entertainment service provider Prime Focus has signed a definitive agreement to acquire the California-based DAX for a base consideration of $9.1 million (around Rs 56 crore) payable over three years. The company mentions this is a performance-linked agreement wherein PFT will be acquiring all the assets of DAX through its US subsidiary for an upfront payment with the balance payable over 3 years by the cash generated from the company's North American operations. PFT is making an upfront payment of Rs 4.8 crore and investing Rs 8 crore towards working capital, according to The Economic Times. The transaction is expected to close in the coming weeks. Post acquisition, PFT will own DAX's technology and products including its television production solution Digital Dailies. These solutions will be combined with Prime Focus' cloud-enabled media ERP solution CLEAR to offer enterprise media ERP solutions to broadcasters and studios. PFT claims that broadcast networks currently use CLEAR to manage 200 TV shows on daily basis and over 350,000 hours of content. Clientele: PFT will also get access to DAX's clientele which includes studios and broadcast networks like Warner Bros. Television Studios, CBS Television Studios, 20th Century Fox Television Studios, Relativity Media, Legendary Pictures, Fox Television Studios, A&E, Showtime, Starz Media and Lionsgate along with several other independent production & distribution companies. PFT to expand operations in North America: Besides this, PFT will be able to expand its operations in North America region with DAX CEO Patrick…
