Orion Innovation has acquired Zodiac Systems. The deal blends a digital transformation consulting firm with a video service delivery software company. Private equity firm One Equity Partners has owned Orion since 2018 and Zodiac systems since 2015.
This is M&A deal number 242 that ChannelE2E has covered so far in 2020. See the complete M&A deal list here.
Orion has more than 4,000 employees evenly distributed across Europe, Asia Pacific, and the U.S. Key areas of expertise include media, communications and financial services, and among others. Orion has been active on the has M&A front -- acquiring five businesses in the past 15 months. One related deal involved buying Tekmark Global Solutions earlier this year for telecom engineering expertise.
Zodiac, meanwhile, owns intellectual property focused on video streaming, set-top boxes and IP-only video devices. Zodiac’s software platform spans 20 million set-tops at Tier 1 carriers, the companies say.
Orion Innovation Acquires Zodiac Systems: Executive Perspectives
Derek Harrar will continue as CEO of Zodiac and join Orion’s management team to lead the Media Division to scale ongoing digital transformation efforts in that space.
In a prepared statement about the deal, Orion CEO Raj Patil said:
“Zodiac is a pioneer in the video service delivery space, with unique proprietary IP and deep engineering expertise to meet the increasing demand for next generation telecommunications and media services around the world. Video is at the leading edge of the largest digital transformation opportunity. Zodiac gives us a true advantage in delivering exciting solutions to our rapidly growing telecommunications and media client base. We’re thrilled to welcome Derek Harrar and the talented Zodiac team to Orion.”
Added Zodiac CEO Derek Harrar:
“Over the last 18 months, Zodiac has established itself as the preferred API management cloud integration platform partnered with the major players in the OTT/IP video delivery segment. Joining Orion represents the next step in that journey, combining our platform with a virtually unlimited, cost-efficient engineering pool savvy in large-scale digital transformation and product development services capabilities.”
Harrar will continue as CEO of Zodiac and join Orion’s management team to lead the Media Division.
Private Equity Perspectives
Chip Schorr, senior managing director at One Equity Partners, concluded.
“Zodiac and Orion have complementary and deep skill sets that will benefit their respective client bases. This latest acquisition continues Orion’s inorganic growth plan and deepens relationships with blue-chip media and communications clients.”
Financial terms of the Orion-Zodiac deal were not disclosed.