Global production company Beyond International Ltd. agreed to acquire TCB Media Rights Ltd., a U.K.-based distributor of nonscripted factual content.
The acquisition will be executed through Beyond International's Irish unit Beyond Entertainment Ltd. The seller is FTI Consulting Canada Inc., the receiver of TCB's parent entity Kew Media Group Inc.
The deal is subject to approval by the Ontario Superior Court of Justice and other customary conditions. Following court approval, Beyond Entertainment will acquire TCB's entire share capital in cash and provide TCB enough funds to help repay debt owed to Kew Media. Beyond Entertainment will use its existing cash and debt to fund the deal, the total amount of which is equivalent to less than 10% of Beyond International's current assets as of the end of 2019.
Beyond International expects the acquisition to help expand the footprint of its distribution business.
The deal is expected to be cash flow positive and earnings-per-share accretive over the first 12 months.