DivX Buys AnySource Media In Up To $15M Deal

SAN DIEGO (AP) — Video technology company DivX Inc. said Tuesday that it bought AnySource Media LLC in a deal valued at up to $15 million.

DivX paid $7.5 million in cash at closing. Additional cash payments of up to $7.5 million will be payable over three years upon the achievement of certain technical, and revenue and distribution milestones, DivX said in a statement.

No further financial details were provided.

AnySource Media, based in Malvern, Pa., is the creator of an Internet television streaming platform that lets users connect their TVs to the Internet.

The acquisition will increase DivX's costs by about $1.3 million, or 2 cents per share, for the remainder of the year, said Dan Halvorson, the company's chief financial officer.

"The AnySource streaming platform combined with our high-quality device certification program and our deep relationships with both consumer electronics companies and Hollywood studios puts us in an enviable position in this rapidly emerging market," DivX CEO Kevin Hell said in a statement.

DivX shares fell 17 cents to close earlier at $5.05.