San Francisco’s Dolby Laboratories signed an agreement Monday to acquire Burbank’s Doremi Labs for $92.5 million in cash with an additional $20 million in contingent considerations that may be earned over the next four years.
Doremi manufactures and develops digital cinema products like format converters and digital servers. Dolby develops audio technology.
“Dolby shares our commitment to working closely with exhibitors to bring amazing experiences to moviegoers,” Camille Rizko, Doremi’s founder and president, said in a statement.
The deal is anticipated to close by the end of this year.