Vista Group International has bought a 60 percent stake in Mexico's Senda Direccion Tecnologica, giving it control of the Latin American reseller of the cinema analytics firm's services.
The Auckland-based company has issued 115,764 shares, or about 0.1 per cent of Vista, at a nominal price of $5.91 apiece, or some $684,000, as a partial payment for the 60 per cent stake in Senda, which resells the New Zealand firm's Vista Entertainment Solutions and Movio services in Central and South America. Vista declined to disclose the overall acquisition price.
The nominal issue price is a 7.1 per cent premium to the $5.52 price Vista's shares closed on Friday. The stock rose 1.5 per cent to $5.60 today.
The deal will boost Vista's revenue and generate incrementally positive earnings before interest, tax, depreciation and amortisation, which is tracking within guidance, it said.
Senda will be renamed Vista Latin America and continue to be run by founders Armando Mejias and Gustavo Ortega, who will report to Vista Entertainment Solutions chief executive Kimbal Riley.
"Senda joining Vista Group and the consequent formation of Vista Latin America will enable Vista directly engage with the burgeoning Latin American market and in particular enable closer relationships with three of the world's largest cinema exhibitors," Riley said in a statement.
