Global Eagle Entertainment Buys U.K. CompetitorMonday, October 21, 2013
Global Eagle Entertainment on Monday announced it had acquired Travel Entertainment Group Equity Ltd. for $36 million.
Travel Entertainment Group, which had been owned by GCP Capital Partners, provides movies, TV programs, games, mobile apps, publications, safety videos and technical support to more than 50 airline and cruise ship clients. Based in Cheshire, England, it has a particularly strong presence in developing markets such as Africa, Asia and South America.
With the acquisition of the U.K. company, Global Eagle now claims to provide 65 to 70 percent of the entertainment content available to airlines worldwide.
“This acquisition is in line with our strategic objective to grow our position as the leading provider of in-flight media, to broaden our client base and to further strengthen the combined service offerings we provide to airlines worldwide,” Chief Executive John LaValle said in a statement.
The deal is the fourth acquisition made by Global Eagle since it was founded two years ago by former Metro-Goldwyn Mayer Studios Inc. Chairman Harry Sloan and former CBS Entertainment President Jeff Sagansky.
Its shares closed down 1 cent, less than 1 percent, to $9.23 on the Nasdaq.