Two U.S. Social TV Services to Merge

NEW YORK: Viggle has made a move to acquire GetGlue in a deal worth $25 million plus stock that seeks to establish a dominant force in the social TV market.

The transaction will see Viggle pay $25 million in cash and 48.3 million shares of stock for GetGlue. Viggle will operate both brands. GetGlue founder and CEO Alex Iskold will join Viggle in a senior executive post on its management team and as a member of its board of directors. Viggle will also absorb all 34 GetGlue employees.

GetGlue enables users to check-in and socialize while watching TV. Users can also discover what to watch via a personalized guide and find videos, images and links for their favorite shows. There are currently some 3.2 million registered users as well as a database with more than 500 million entertainment ratings and check-ins. Viggle has more than 1.2 million registered users. It rewards consumers with points for their loyalty to and engagement with content surrounding TV shows. Points can be redeemed for real-world rewards in places such as Best Buy, Amazon, Fandango, Hulu Plus and iTunes. The service’s audio verification technology recognizes and allows users to check into live, recorded and online TV content from more than 170 broadcast and cable channels.

“With this deal, we are combining very experienced and creative product, engineering and management teams that will continue to build great user experiences and provide industry leading platforms for consumers, networks and advertisers,” said Robert F.X. Sillerman, the executive chairman and CEO of Viggle. “We will also be vastly increasing the Viggle user base and quadrupling our network partnerships. Viggle and GetGlue users can look forward to using the apps they have come to love as we add new and appealing features made possible by the combined resources of this clear industry leader.”

Iskold added, “We are very excited to join forces with Viggle! GetGlue has built a social TV product that people love, and Viggle has become their favorite loyalty program for TV. Together we are positioned to deliver the next generation second-screen experiences that delight and benefit users, networks and major brands.”