HOLLYWOOD — Entertainment Boulevard Inc., parent company of Netcaster Vidnet.com, acquired f/x house Digital Muse on Thursday.
While precise financial terms of the acquisition were not released, execs said the deal, to be completed after an exchange of stock between the companies, will officially be sealed May 1.
Shares of Entertainment Boulevard, which is traded on the over-the-counter bulletin board, were up more than 22% to $2.75.
Digital Muse has done special effects for films like “Spawn” and “The Devil’s Advocate”; skeins “The X-Files” and “Star Trek: Voyager”; and commercials.
“Entertainment Boulevard’s technological advances in streaming content delivery combine nicely with our plans for inhouse content development,” said John Gross, president of Digital Muse. “That synergy, supported by the talented artists at Digital Muse, will further expand the reach of Digital Muse’s stunning effects work.”
Gross, one of the founders of Amblin Imaging, will stay with the company, which will maintain its shop in Santa Monica.
With the acquisition, Entertainment Boulevard hopes to expand into creating original content, including commercials, for the Web.
“John Gross has an outstanding reputation within the industry,” said Stephen Brown, Entertainment Boulevard’s president and CEO. “We’re pleased that he’ll be retaining his position as president of Digital Muse to help build Entertainment Boulevard’s revenue flow and to continue the expansion of our business model.”
Through Vidnet.com, Entertainment Boulevard has signed deals with CinemaNow, Sony and EMI.