Buffalo-based pay TV tech vendor Synacor announced in February it was merging with Minneapolis-headquartered maker of video software for enterprise companies
Synacor and Qumo have agreed to call off an all-stock merger that was announced in February.
In a joint statement issued Monday, the two video tech companies didn’t offer up their reasons.
“We mutually concluded after careful consideration that it would not be prudent to continue to pursue the combination and integration of our companies. We are confident this is the right decision for our shareholders, our customers and our employees. This decision will ensure each of Synacor and Qumo can dedicate the resources and focus to pursue opportunities in their respective industries and businesses,” reads a joint statement provided by Kevin Rendino, chairman of Synacor, and Neil Cox, chairman of Qumo.
Buffalo, N.Y.-based Synacor makes cloud-based user authentication technology for pay TV “TV Anywhere” products, as well as various OTT services. It’s client list includes Google/YouTube, WarnerMedia, Dish Network, T-Mobile and WideOpenWest.
Minneapolis-based Qumo makes video software for enterprise companies and touts 26 workers.
The two companies touted the merger as a deal that would create a combined asset with $120 million in revenue. Synacor stock holders would have controlled two-thirds of the combined company, with the Qumo moniker relegated to brand name status.
“This is a strategic and highly synergistic combination that creates operating software scale and accelerates growth,” said Synacor CEO Himesh Bhise back in February, when the deal was announced.