Cinedigm Buys into Shout! Factory, Plans Digital Channel Revamp

LOS ANGELES: Cinedigm Corp. has made a minority investment in Shout! Factory, coming as part of a wide-ranging partnership that will see the relaunch of the OTT digital channel Shout! Factory TV.

The companies are planning to jointly revamp Shout’s existing AVOD OTT digital channel, which is focused on classic television and movies in a SVOD and "freemium" AVOD model. Additionally, the pact extends Cinedigm’s existing home-entertainment distribution contract covering Shout! Factory’s library of content, including classic and contemporary TV series, new horror and family films, animation and classic films.

“Shout! Factory has been our long-time partner and we are thrilled to make an investment in this innovative and forward looking multimedia entertainment company,” said Chris McGurk, Cinedigm's chairman and CEO. “This new relationship benefits all aspects of Cinedigm’s business and adds Shout! Factory’s classic pop culture-themed OTT channels to our digital network roster that now includes CONtv, DOCURAMA and the upcoming DOVE CHANNEL.”
 
“Cinedigm is the perfect investor and strategic partner for Shout! Factory. This opportunity brings together two popular entertainment brands that complement each other in many ways,” added Shout! Factory’s founders. “As we continue to build on the success that we’ve enjoyed, we want to acquire exciting and high potential new films and series with significant revenue streams that we along with Cinedigm can fully exploit. This is a dynamic opportunity for us to cultivate our OTT digital channels by utilizing Cinedigm’s expertise. This positions us well to further expand our physical and digital businesses.”
 
“Shout Factory has been an integral part of the growth and success of Cinedigm’s entertainment distribution business over the last three years, spanning all our active distribution platforms,” added Bill Sondheim, the president of Cinedigm Entertainment Group. “This deal further solidifies our strategic partnership and mutual commitment as both companies continue to lead in emerging consumer trends providing compelling branded content on digital network channels.”