On2 Buys Finnish Mobile Video tech Firm Hantro For $58.4 Million

Developer of video compression technology On2 is buying Finland-based Hantro Products, a provider of video software for mobile devices, for about $58.4 million in cash and stock. On2 will pay about $6.8 million in cash and rest in shares and before mid-August. The acquisition would accelerate the deployment of On2’s technology on semiconductor chipsets that power mobile and embedded devices, the company said. Hantro expects revenues of about $8.1 million to $12.2 million for its fiscal year 2007.
Hantro provides video compression implementations for mobile, digital consumer-electronics and IPTV devices, and its customers include Nokia, Freescale, LSI, Vimicro, Sanyo, among others. Hantro’s technology has been implemented on more than 200 million devices to date and in mobile phones produced by 5 of the top 6 handset manufacturers, it says. More details in the release.
ACEuro: Nexit Ventures owns approximately one third of Hantro shares. Other investors include Capman and Atine as well as the company’s founders and key personnel. Nexit has been a co-lead investor in Hantro since 2000.