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ATX Networks, an H.I.G. Portfolio Company, Completes Acquisition of Pico Digital, Inc.
MIAMI – January 5, 2017 – H.I.G. Capital, LLC ("H.I.G."), a leading global private equity investment firm with $21 billion of equity capital under management, is pleased to announce that its portfolio company, ATX Networks Corp. (“ATX”) has acquired Pico Digital, Inc. (“Pico”). ATX is a market leading global provider of video and broadband equipment solutions across multiple delivery networks serving residential, enterprise, and commercial video markets. The Company’s network infrastructure systems include hybrid fiber coax (“HFC”) equipment with advanced fiber optic technology, which cable operators rely on to enable increased bandwidth. ATX’s video solutions allow operators of commercial properties to deliver customized video and data services to end-users. Pico Digital is a rapidly-growing and innovative provider of solutions to the satellite video and radio broadcasting markets and ATX’s investment in Pico extends its expertise and leadership in the commercial video solutions segment.
Headquartered in San Diego, CA, Pico designs and manufactures patented high-performance, high-value distribution and customer premise equipment for satellite providers, cable companies, and radio customers. Hotels, universities, healthcare facilities, and MDUs use Pico’s satellite gateway equipment to transmit customized video and data services to each room in a property. Radio stations and broadcasters rely on Pico’s mission-critical radio distribution systems to send, receive, and manage programming and advertising. The scale, resources, and capabilities of ATX will support Pico’s continued rapid growth in the U.S. and globally.
“Pico Digital represents a highly strategic and complementary investment, allowing us to continue to grow our commercial video solutions business worldwide and providing ATX entrance into the satellite and radio markets,” said Ken Wildgoose, ATX’s President and CEO. “We have been very impressed with Pico’s leadership, blue-chip customer relationships, and technological capabilities.”
Ian Lerner, CEO of Pico Digital commented, “We are very excited to start a new chapter in joining the ATX team. Pico will continue to be focused on providing customers with industry-leading, innovative solutions. ATX’s resources and capabilities should allow us to enhance our value-added solutions and forge relationships with customers in new markets and geographies.”
Camilo E. Horvilleur, Managing Director at H.I.G. Capital, said, “The Pico Digital investment, in conjunction with the recent InnoTrans transaction, has transformed ATX into a diversified, value-added provider of network infrastructure and commercial video solutions to cable, satellite, radio, and media customers. The partnership will provide Pico with the resources and backing of a larger business, enabling better experiences to a truly global customer base and faster development of new, innovative products.”
Ian Lerner will serve as CEO and Carlos Shteremberg as President of the Pico Digital division within ATX, which will remain comprised of the current Pico Digital management team in its entirety. The combined Company will have over 300 employees, leveraging the scale and scope of ATX to not only establish the leading global product development platform for commercial video solutions technology, but also enhance global procurement and supply chain resources to provide best-in-class solutions serving current and future customer needs.
About ATX Networks
ATX is a market leading global provider of video and broadband equipment solutions across multiple delivery networks serving residential, enterprise, and commercial video markets. The Company’s network infrastructure systems include hybrid fiber coax (“HFC”) equipment with advanced fiber optic technology, which cable operators rely on to enable increased bandwidth to their subscribers, and to transmit signals over longer distances while conserving fiber, power, and space. ATX’s growing suite of commercial video solutions allow network operators to efficiently deliver video and data services within properties and develop customized end-user experiences through transcoding and encoding, bulk video transition gateways, and content streaming products. Headquartered outside of Toronto, Ontario, the Company also has facilities in San Jose, CA and Stuart, FL and maintains a state-of-the-art research and development center in Petach-Tikva, Israel.
About Pico Digital
Pico Digital, based in San Diego, CA is a global telecommunications technology company providing differentiated, cutting-edge solutions and products for the satellite and radio markets. The Company designs and manufactures high-performance, high-value distribution and customer premise equipment. Pico serves television and radio broadcasters, content providers, the hospitality industry, and commercial users in more than 50 countries.
About H.I.G. Capital
H.I.G. is a leading global private equity and alternative assets investment firm with $21 billion of equity capital under management.* Based in Miami, and with offices in New York, Boston, Chicago, Dallas, Los Angeles, San Francisco, and Atlanta in the U.S., as well as international affiliate offices in London, Hamburg, Madrid, Milan, Paris, Bogotá, Rio de Janeiro and México City, H.I.G. specializes in providing both debt and equity capital to small and mid-sized companies, utilizing a flexible and operationally focused/ value-added approach. For more information, please refer to the H.I.G. website at www.higcapital.com.
* Based on total capital commitments managed by H.I.G. Capital and affiliates.