Cinedigm Expands Into Horror Genre With Screambox Acquisition
- Cinedigm Corp. (NASDAQ: CIDM) acquired streaming service Screambox, which has been touted as the horror streaming substitute of Netflix Inc (NASDAQ: NFLX) by Tech Times. The financial terms of the acquisition remain undisclosed.
- The horror genre raked $1.1 billion in box office revenue in 2019 and an estimated $2.3 billion in worldwide revenues.
- It aims to expand the Screambox distribution to its subscription channel partners, including Roku Inc (NASDAQ: ROKU), Comcast Corp (NASDAQ: CMCSA), SlingTV, DISH Network Corp (NASDAQ: DISH).
- The acquisition follows Cinedigm’s Fandor acquisition, termed as the Netflix of independent film by the Wall Street Journal.
- Cinedigm's negative operating cash flow stood at $12.8 million as of September 30, 2020. Closing cash and cash equivalents amounted to $16.5 million.
- It recently raised $7 million in a secondary offering for debt repayment and funding acquisitions.
- Price action: CIDM shares are up 3.37% at $1.995 on the last check Friday.
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