News

Wasserstein & Co.’s Broadcast Facilities, Inc. Acquires Satellite Services Division of Crawford Communications, Inc.

Los Angeles, Thursday 21 Jan, 2010

Creates Market Leader in Providing Outsourced Solutions for Major Broadcasters and Media Companies

Broadcast Facilities, Inc. (“BFI”), a media services company owned by private equity and investment firm Wasserstein & Co., LP and management, today announced the acquisition of the Satellite Services Division of Crawford Communications, Inc. (“Crawford”) to create a market leading provider of outsourced broadcasting solutions for major broadcasters and media companies. Terms were not disclosed.

 The transaction combines BFI’s primary asset, the Andrita Media Center (“Andrita”), the largest independent HD/SD network origination, production, post production and digital media facility on the West Coast, with Crawford’s highly complementary East Coast business, which includes television network origination, teleport, satellite uplink trucks, Internet, production services, and media services to government clients.

BFI will now have greater scale and resources to provide mission-critical services to leading broadcasters, media companies, and other clients. The combined company’s diversified client base includes ABC, NBC Universal, DIRECTV Sports Networks, Hallmark, NFL Network, Game Show Network, ESPN, NASCAR Media Group, and MGM, as well as government entities including the U.S. Department of Defense, NASA, and the CDC.

“We are very pleased to bring these two market leaders together to create a company that is ideally positioned to take advantage of current market dynamics, including the proliferation of channels, the transition to HD and the desire of broadcasters to outsource facilities to reduce fixed costs,” said Ellis Jones, Chief Executive Officer of Wasserstein & Co. and Chairman of BFI. “To finance the acquisition, we have partnered with Tennenbaum Capital Partners, LLC, a firm that has a deep understanding of the industry and its changing dynamics and an established record of providing growth capital to media and telecom businesses. This transaction reflects Wasserstein & Co.’s continuing efforts to identify and structure compelling investment opportunities for ourselves and our partners.”

“We have always had the highest regard for the team at Crawford as well as their technical innovations and unique customer focus,” said Simon Bax, Chief Executive Officer of BFI. “By combining our resources, and our West and East Coast locations, we will now be able to provide a more comprehensive array of high-value services for a broader range of clients.”

“The integration of Crawford’s facility and services will greatly enhance BFI’s existing broadcast operations,” said Bill Tillson, President and Chief Operating Officer of BFI. “With our collective resources, we will continue to lead the way in cutting-edge broadcast solutions for 24/7 networks, occasional-use video events, and video distribution for producers and distributors of digital media.”

The acquisition significantly enhances BFI’s scale by broadening its core 24/7 origination and transmission services for linear cable TV channels to also include a growing media services business with the U.S. Government, central casting 24/7 origination and transmission services for local TV stations, and occasional-use satellite services. Crawford’s Atlanta facility and BFI’s Los Angeles media center will offer mirrored disaster recovery and the ability to quickly launch HD/SD networks. The combination will also give clients access to a unique footprint for the backhaul of both domestic and international sporting events and to quickly roll out central casting services for TV stations throughout the U.S.

“This is a great opportunity for both Crawford and BFI. Our full-time network clients now have a valuable back-up location as well as a West Coast point-of-presence,” said Jim Schuster, Executive Vice President of BFI. “Moving forward, we will keep all operational and client-related services intact while expanding our global reach.”

“We are very excited to support Andrita’s and Crawford’s efforts to capitalize on this incredible market opportunity,” said Christian Donohue, Managing Director of Tennenbaum Capital PartnersTM. “This transaction reflects Tennenbaum’s commitment to tailoring unique capital solutions.”

About Broadcast Facilities, Inc.

Broadcast Facilities, Inc. was formed in 2008 by Simon Bax, Bill Tillson and Wasserstein & Co. to acquire and operate broadcast media facilities in the U.S., Asia and Europe. BFI is focused on providing network origination, fiber and satellite transmission and digital media services including the capture, manipulation and distribution of digital media on a worldwide basis. BFI’s first acquisition was the Andrita Media Center, which BFI acquired on April 1, 2008.

About Andrita Media Center

Andrita  is a state-of-the-art 106,000 sq. ft. multi-channel HD/SD digital server based network origination, satellite transmission, production, and post-production media facility located in Los Angeles, California. Andrita originates a large roster of 24/7 networks including Hallmark, MGM HD, Current TV, Game Show Network, and Universal Sports. Andrita’s HD/SD production facilities have been utilized by multiple high-profile production clients including ABC, MTV, HBO, ABC, CBS, and 20th Century Fox Television. Andrita houses a fully integrated, digital post-production environment and also provides digital media services for the creation of digital files to all major encode specifications including VOD, iTunes, CinemaNow, and VUDU. Andrita’s digital media services include file creation, metadata, digital file transfers via satellite, fiber, and IP and archival storage.

About Crawford Communications, Inc., Satellite Services

Headquartered in Atlanta, GA, Crawford has been providing turnkey broadcast solutions since 1984. The Company performs over 40,000 feeds per year, originates/turns more than 200 full-time networks and provides satellite services to hundreds of clients in various industries. Crawford works closely with major news networks such as ABC, CBS, CNN, FOX, and NBC. It also delivers content for sports leagues and broadcasters including DIRECTV Sports Networks, ESPN, MLB, NASCAR Media Group, NBA, and NFL Network. The CDC, NASA and the U.S. military’s Digital Video and Imagery Distribution System (DVIDS) are among its government clients. The Company also performs international services for Alterna’TV, Latin American Pay Television (LAPTV), MGM Networks Latin America, and SkyVision. In addition to these notable organizations, Crawford provides disaster recovery for BET, Discovery Communications, Scripps Networks, and The Weather Channel.

Spanning over 110,000 square feet, Crawford has one of the largest network origination facilities in the U.S. The Company employs 335 people and operates 24/7. Crawford’s services include network origination/playback, central casting, disaster recovery, satellite and fiber transmissions, satellite uplink and production trucks, IP-media, IP via satellite, emergency communications, governmental SATCOM, webcasting, and studios and remote video production.

About Wasserstein & Co.

Wasserstein & Co., LP is a leading independent private equity and investment firm, focused primarily on leveraged buyout investments and related investment activities. The firm manages capital on behalf of its institutional and individual investors, including public and corporate pension funds, foreign governmental entities, endowments and foundations, and high net worth individuals. The firm historically has made investments in media, consumer products and other industry sectors. Wasserstein & Co. conducts its activities through offices in New York and Los Angeles.

About Tennenbaum Capital Partners, LLC

Tennenbaum Capital Partners, LLC is a leading private investment firm that specializes in crafting unique financial solutions tailored to companies’ specific needs. The firm develops long-term working partnerships with management teams, boards, sponsors, and other deal participants, often providing companies with multiple rounds of financing. The firm invests across a broad range of industries and has completed numerous growth and acquisition financings for media and telecommunications companies. Located in Santa Monica, California, the firm is an investment advisor registered with the Securities Exchange Commission.