Videovisa sells 50% of subsid

Techicolor pays $15.5 mil for stake

MEXICO CITY — Videovisa, Mexico’s largest video distributor and retailer, is selling a 50% stake in its video reproduction subsidiary for $15.5 million to Technicolor Video.

Technicolor Video, a subsidiary of Carlton Communications, is the world’s largest production and distributor of videocassettes.

Videovisa’s reproduction unit, Central de Video, is the biggest in the Spanish-speaking world, with the capacity to produce 25 million units per year and a Mexican market share of 75%, the company claims.

Planning market invasion

Central de Video and Technicolor plan an aggressive expansion strategy, the deal enabling them to penetrate the Central and South American markets.

Central de Video also has a corporate client base in the U.S. for promotional videos, which will now have the backing of Technicolor’s new Specialty Products Group, a division focused exclusively on the promotional video sector.

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