Hemisphere Media Group announced that it has acquired the remaining 75% stake of Pantaya, a leading U.S. Hispanic Subscription Video-on-Demand Service from its joint venture partner, global content leader, Lionsgate for US $124 million in cash. As a result of the transaction, Hemisphere now owns 100% of Pantaya, up from its previous 25% minority stake.
Launched in August of 2017, Pantaya, which features over 400 movies and series, is a player in the Spanish-language subscription video services market. According to the press release, user demand has rapidly increased, and Pantaya now boasts approximately 900,000 paying subscribers, clearly demonstrating that U.S.-based Hispanics/Latinos enjoy – and want – culturally relevant, targeted streaming content. Hemisphere estimates that Pantaya’s subscriber base will grow to 2.5 to 3.0 million by the end of 2025.
“In a very short period of time, Pantaya has become the destination for U.S. Hispanics seeking premium Spanish-language movies and series,” said Hemisphere Chief Executive Officer Alan Sokol. “Pantaya offers access to blockbuster movies, original, exclusive series and other premium, world-class content unavailable anywhere else. Pantaya’s success to date affirms the tremendous appetite of our audience for our unique content offering. Hemisphere plans to increase investment in content, expanding the output of series and movies, with the goal of accelerating subscriber growth and becoming a ‘must have’ entertainment option for the large and growing U.S. Hispanic audience.”
Pantaya Chief Executive Officer Paul Presburger, added, “As a result of our focus on exclusive premium content, our knowledge of the Hispanic consumer, and the breadth of our offering, Pantaya is now the industry’s leading streaming service for Spanish-speaking and bilingual consumers. Pantaya’s accessible price point, user-friendly interface and wide selection of the best Spanish-language content has led to significant growth. In the past year alone, Pantaya has increased its subscription base by 40 percent, and we believe we have significant runway for additional expansion ahead.” Pantaya, Lionsgate, STARZPLAY (the international premium subscription service of STARZ) will create a strategic content relationship that encompasses Spanish-language motion picture and television co-productions along with Pantaya’s continued licensing of Spanish-language content from Lionsgate’s 17,000-title film and television library.
In addition, of the 39 million unacculturated/bicultural adults 18+ in the U.S., 34 million are already accessing at least one streaming service, 27 million seek out shows and movies about Hispanic characters and stories, and 17 million are willing to pay for access to movies and series.
Pantaya: Subscription Based vs. Ad Based
Pantaya’s business model is based on subscriptions versus other U.S. Spanish-language video content services that are based on AVOD (Advertising based Video on Demand) like Univision’s Prende TV which was launched last week. AVOD are accessed freely by consumers without having to pay a subscription. Univision recently bolstered its position in the Hispanic AVOD space by acquiring AVOD service VIX, formerly known as Batanga, which offers content to millions of US Hispanics and consumers throughout Latin America.
Earlier in 2021, Univision announced plans to launch PrendeTV, designed to be the only ad-supported video streaming service created exclusively for US Hispanics, featuring free, premium, 100 per cent Spanish-language programming. (Check out this article regarding monetization of Hispanic AVOD services, including Hulu, Vida Primo and Pongalo (later acquired by VIX and now part of Univision).
Triple Lift, Receives Majority Investment from Vista Equity Partners
Native programmatic advertising platform TripleLift has been acquired by Vista Equity Partners, the private equity firm founded by Robert F. Smith. The terms of the transaction were not disclosed but it has been reported that the transaction values TripleLift at US $1.4B. The agreement marks one of the largest transactions in the advertising technology. sector. For TripleLift, merging with Vista allows for the firm to maintain strategy and culture, accelerate the business, and provide financial clarity for its shareholders. With 5 years of 70%+ growth, Vista is acquiring TripleLift’s growth opportunities across international and video markets, as being #1 in Native Advertising and top 3 in programmatic video. “We have developed into a leader in the advertising technology space and are excited about our next chapter,” said Eric Berry, Co-Founder and CEO of TripleLift.
Founded in 2012, TripleLift is driving the next generation of programmatic advertising by inventing new ad formats and building two-sided marketplaces that deliver monetization to publishers around the world. The company rose to prominence as the leader in Native programmatic advertising, expanded its offerings to display and video, and is now commercializing breakthrough products in Connected TV. TripleLift works with over 80% of the comScore 100 publishers, 100% of the Top 20 Demand Side Platforms (DSPs) and 100% of the AdAge Top 100 advertisers. Last year, TripleLift handled over 40 trillion ad transactions across desktop, mobile and connected television.
ID5 Raises US $6 million in Series A Funding
ID5, an independent identity solution provider, announced a “series A” funding round of $6 million. Alliance Entreprendre and Progress Ventures join existing lead investor 360 Capital Partners to support ID5 in growing its privacy-first identification service for the benefit of the whole digital advertising ecosystem. ID5 will use the funds to expand its operations globally, focusing on the US market. The company will invest in its technology infrastructure, further develop its products and grow its team. Since its launch in 2017, ID5 has been working towards the creation of an efficient identification infrastructure that supports media owners and respects users’ privacy choices. The technology has been adopted by hundreds of publishers and ad tech platforms globally, enabling ID5 to boost its global reach to over 600 million consumers daily and increase the value of its Universal ID service. According to Kristina Prokop, CEO and Co-founder at Eyeota “Rebuilding user identification with a privacy-first approach is a necessary step for the digital advertising ecosystem. As a partner of ID5, we are supportive of their efforts to lead the change for the industry.” “Closing this round now, in the wake of recent announcements by Google and Apple, is a strong signal sent to the market that there are alternatives to the Walled Gardens” says Mathieu Roche, co-founder and CEO of ID5. “We have seen tremendous adoption of Universal ID, our cookie-less identification service, by publishers and ad tech platforms. The backing of leading US and European investors gives us further means to achieve our ambition to become the global ID infrastructure powering digital advertising.“