Benzinga | Aug 4, 2021 09:03AM EDT

Liquid Media Announces Letter Of Intent To Acquire Digital Cinema United For Up To 3,75M Shares

Liquid Media Group Ltd. ("the Company," "Liquid Media" or "Liquid") (NASDAQ:YVR) today announced the signing of a letter of intent (the "LOI") to acquire Digital Cinema United Holding Ltd. ("DCU"), which provides content supply chain technology and services supporting independent intellectual property (IP) owners, producers, sales agents, alternative content distributors, downstream media platforms and studios. Under the terms of the LOI, Liquid would acquire DCU for up to 3,750,000 shares, and DCU must achieve revenues totalling over US$15M to trigger two of the three equal tranches. Additional cash will be invested in DCU's ongoing operations, beginning with immediate availability of a secured bridge loan in the amount of $1.15M, to be applied towards working capital and growth of its business.



Supporting the big picture from content source file creation to distribution, DCU's supply chain offers a full suite of primary asset creation services to present video, audio and data stream files with pristine clarity. DCU creates localized deliverables to assure international delivery, provides best practice hybrid solutions for content fulfillment across 40+ countries, and offers theatrical and downstream services under one roof with deliveries to the majority of the world's digital platform providers.

"We are excited to add DCU as an integral component of our four-stage business solutions engine, bringing vital, next-generation technology that puts independent IP creators of all sizes and types on an even playing field with major studios across production services, international servicing, as well as theatrical and digital distribution," said Ron Thomson, CEO of Liquid Media.

"DCU is delighted to join the Liquid Media ecosystem. Liquid's vision is in line with our ambitions and having a multi suite of tools and services that provide innovative solutions for the future of content distribution is exactly what our industry needs," said Alan Christensen, CEO for Digital Cinema United. "DCU provides an incredibly scalable architecture that is highly utilized and well integrated across multiple levels of the supply chain. We look forward to channelling into more areas of content flow and bringing added value to our customers and exhibition partners."