Peace Arch snaps up U.S.'s Trinity
EmptyTORONTO -- Canadian producer Peace Arch Entertainment on Wednesday said it has an agreement to buy U.S. DVD distributor Trinity Home Entertainment for $10 million in cash and stock.
Toronto-based Peace Arch, which has been bolstering its movie distribution business of late, said that acquiring the California-based DVD distributor was part of its U.S. market expansion plans.
Last December, Peach Arch bought movie producers Castle Hill Prods. and Dream LLC in a cash and stock deal valued at $9.5 million.
Peace Arch president John Flock said that folding Trinity's operation into his own Canadian DVD distribution business enabled him to create a "platform upon which to build one of the leading distribution companies in North America."
The Trinity deal will see Peace Arch offer $9.5 million in cash and another $500,00 worth of company stock. Trinity Home president Phillip Knowles will remain with the company as head of its U.S. DVD distribution business.
The Trinity library includes such titles as Stephen King's "Maximum Overdrive," "Raw Deal" starring Arnold Schwarzenegger and "The Octagon" featuring Chuck Norris.
To fund its latest purchase, Peace Arch will make a share offering to raise CDN$33 million ($29.7 million) for debt reduction and general corporate purposes "including other potential future acquisitions."