KIT digital is preparing to exit bankruptcy and emerge under the new name Piksel. The company had filed for bankruptcy three months ago after a troubled period of operations.
The relaunch itself will take place at IBC 2013 in Amsterdam this September, the rebrand having already taken place on August 29th.
“Piksel is set to emerge as a healthy, dynamic company with a great mix of talented employees, market-leading customers, profitable assets, and sufficient liquidity for operations and investments,” said Peter Heiland, interim chief executive officer of Piksel.”We have an incredibly talented global team at the cutting-edge of a rapidly evolving industry sector. Their insights and innovations, combined with a total ‘design, build, manage’ approach helps companies maximize their reach and return with video.”
However, anyone thinking that the new company will be quieter than the last, will need to look at the statements relating to utd. by content, a division spun off from KIT Digital in June 2012 at the height of its troubles.
The business was sold for $18.8 million, comprised of an initial cash payment of $1.0 million and a $17.8 million multi-year earn-out payment obligation based on revenue achieved.
KIT is now alleging breach of contract and says it is now seeking avoidance and recovery of a fraudulent transfer – effectively looking to restore the business to the KIT portfolio.
“We know that utd. by content has customers and is generating revenue. We also know that utd. by content is choosing to ignore its obligation to pay KIT digital, Inc. a percentage of its revenue as an earn-out payment,” said Fabrice Hamaide, chief financial officer, KIT digital.
utd. by content was not available for comment.
