Velocity MSC Announces Divestiture of two Joint Ventures
By PR Newswire
HOLLAND, Ohio, Jan. 5, 2023 /PRNewswire/ -- Velocity, A Managed Solutions Company that provides IT managed services through network management, voice and data connectivity, along with digital signage displays, and digital media displays throughout our advertising networks, today announced divestitures of its ownership interests in two joint ventures that the company acquired in 2020. The two joint ventures, PaperAirplane, and Velocity Cinema Solutions (VCS), formerly known as IMOXIEMEDIA INC., both provide marketing and support services to the motion picture industry.
In 2020, Velocity had a unique opportunity to bolster its existing presence in the motion picture distribution and theatrical marketing industry by investing in two separate joint ventures. The first investment involved a partnership with IMOXIEMEDIA, Inc., a marketing distribution and fulfillment service of physical marketing assets to theatrical exhibitors on behalf of motion picture studios. The second investment was a partnership with PaperAirplane, a cinema channel marketing agency. Velocity acquired a controlling interest in both entities.
Velocity's principal goals for both investments were to (1) help PaperAirplane and VCS, formerly known as IMOXIEMEDA, expand their size and the scope of services; and (2) Collectively bring these services and solutions to theatrical exhibitors and studios under one single source provider. Which also involved Velocity supplying a robust and flexible content and connectivity delivery solution to the big screen. Despite serious headwinds that created significant problems for motion picture studios and exhibitors in 2020 and 2021, including both COVID-19 and inflation, working together with the outstanding leadership teams at each of PaperAirplane and VCS, each of these goals was achieved.
In the Spring of 2022, the independent leadership teams of both of PaperAirplane; Mike Polydoros and Will Blair; and VCS; Mary Nakagawa, Cami Martinez, and Michael McLaughlin, approached Velocity and expressed interest in regaining control over their respective companies. Because Velocity had succeeded in accomplishing its principal goal of strengthening its ties with motion picture exhibitors, Velocity agreed that it was an appropriate time to discuss returning ownership of each of these businesses to their founders. On Dec. 31, 2022, Velocity finalized deals with PaperAirplane and VCS, leading to these businesses returning to 100% founder ownership and control.
"We are pleased with the work accomplished while collaborating with PaperAirplane and VCS. The last three years have been a real struggle for the motion picture distribution business. Yet, amazingly, the leadership teams of PaperAirplane and VCS navigated through uncertainties and managed to grow their businesses and create significant value," said Mark Walker, President and COO of Velocity.
Over several months following the completion of the divestitures, VCS will be transitioning back to its former name of IMOXIEMEDIA INC. Velocity plans to continue collaborating with both entities on existing projects and future opportunities.
"We thank both partners for their contributions over the last couple of years. These divestitures will enable Velocity to focus more on its core offerings, including our digital signage display sales and support, and our digital-out-of-home (DOOH) media networks," said Joe Ross, Chief Commercial Officer for Velocity.
Over the past 17 years, Velocity has transformed from a regional telecommunications outfit to a full-scale technology-managed service and solutions provider to Fortune 500 companies across many industries. Despite the challenges of the pandemic, Velocity has continued to broaden its service offerings to include industry-leading VoIP and data services, digital signage, and a full array of hospitality services.ABOUT VELOCITY MSC
Velocity delivers custom technology-managed services and solutions such as IT support, network management, voice and data connectivity, multinational data networking, on-site repairs, field project rollouts and implementations, free-to-guest TV and Wi-Fi solutions, digital signage and DOOH media solutions. Velocity is a privately held company headquartered in Holland, Ohio, with 13 redundant data centers, 5,500+ certified technicians throughout the U.S., and 450 carrier agreements and is a CLEC in all 50 states. For more information, visit www.velocitymsc.com.
CONTACT: Sarah Sandoval Chambers, Corporate Communications, Velocity MSC
SOURCE Velocity, A Managed Services CompanyLiked what you read? Head to the TechDogs homepage to find the latest tech content infused with drama and entertainment. We've got Articles, White Papers, Case Studies, Reports, Videos, News and Events - the complete lot to help you Know Your World of Technology.
First published on Fri, Jan 6, 2023
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