WAYNE, PA – Safeguard Scientifics, Inc. (NYSE: SFE), a holding company that creates value in growth-stage technology and life sciences companies, today announced the sale of its interests in Pacific Title & Art Studio, Inc., a leading provider of a wide range of digital and photochemical services for post-production and archival applications in the Hollywood film and television industry, to a directed investment group by Celerity Partners, Ticonderoga Capital and venture capitalist William Daniels, for $23 million. Pacific Title was a wholly owned subsidiary of Safeguard at the time of the sale.
Safeguard partners with technology companies that have a competitive advantage in software as a service (SaaS), technology-enabled services and internet-based businesses, as well as life sciences companies that focus on molecular diagnostics, medical devices and specialty pharmaceuticals. With a rich history of innovation spanning over 50 years, Safeguard is well positioned to become the preferred catalyst for growth-stage companies in these key industries.
“Safeguard seeks to deploy capital into innovative and attractive companies in market segments that reflect our strategy to generate increased value for our shareholders,” said Peter J. Boni, President and CEO of Safeguard. “While Pacific Title is a great business led by a strong management team, the business is in an industry that is no longer seen as critical to our strategy. This shift in focus has been key in our decision to sell the business.” Safeguard first acquired a stake in Pacific Title in 1997.
“Technology has driven fundamental changes in production, post-production and archival applications in the Hollywood film and television industry,” said John A. Loftus, executive vice president and general manager of the technology group at Safe guard. “We value our partnership with Pacific Title and its management team and believe the company will continue to meet the high quality service and technology support needs of film studios and production companies.”
About the Pacific Title
A pioneer since 1919 in the development and introduction of new methods, services and technologies, Pacific Title is uniquely positioned to lead the continued expansion of digital technologies. Pacific Title provides a full suite of industry-leading digital post-production capabilities for both new releases and restoration of film libraries. Pacific Title maintains post-production facilities as part of its full suite of integrated services and serves clients such as The Walt Disney Company, 20th Century-Fox, Universal Studios, Warner Bros., Sony Pictures Entertainment, Dreamworks SKG, Columbia/ Tri-Star and Paramount Pictures. Pacific Title received an Academy Award this year for its technical achievements in digital archiving.
Safeguard Scientifics, Inc. (NYSE: SFE), a holding company, creates value in growth-stage technology and life sciences companies. We provide growth capital as well as a range of strategic, operational and management resources to our partner companies. Safeguard assists in financing growth buyouts, including corporate spin-outs and management buyouts, expansion financings, industry consolidations and seed financing. www.safeguard.com.
About Celerity Partners
Celerity Partners is a private equity fund whose objective is to build companies, in partnership with management, to preeminence in their respective markets. Since its inception in September 1995, Celerity has invested in over 60 companies with an aggregate transaction value of over $2.5 billion. Celerity has offices in Los Angeles and Menlo Park, California. www.celeritypartners.com.
Ticonderoga Capital is a later-stage venture capital firm specializing in investments in technology-enabled business services such as Pacific Title. Ticonderoga has offices in Wellesley, Massachusetts and Menlo Park, California. Ticonderoga’s management team has over 50 years of collective venture capital experience, investing in over 75 companies since 1984. www.ticcap.com.
Except for historical information and discussions contained in this release, statements contained in this release may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Our forward-looking statements are subject to risks. and uncertainties. These forward-looking statements that could cause actual results to differ materially include, among others, the management of rapidly changing technologies, limited access to capital, competition, the ability to attract and retain qualified employees, the ability to execute our strategy, the uncertainty of the future performance of our companies, acquisitions and divestitures of companies, the inability to manage growth, compliance with government regulations and legal responsibilities, the effect of economic conditions in the industries in which our companies operate and other uncertainties described in the company’s filings with the Securities and Exchange Commission. Many of these factors are beyond our ability to predict or control. Further, due to these and other factors, our past financial performance should not be taken as an indication of future performance. The Company undertakes no obligation to update any forward-looking statements or other information contained in this press release.
Safeguard Scientifics, Inc.
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Source: Safeguard Scientifics, Inc.