Issy-les-Moulineaux Cedex, France, March 2, 2015 (GLOBE NEWSWIRE) -- Technicolor (Euronext Paris: TCH; OTCQX: TCLRY) announces today that it has entered into an agreement with Vector Capital and its affiliates for the purpose of terminating the Governance Agreement signed in July 2012. Vector Capital, Technicolor's largest shareholder with 12.9% of the total share capital, has publicly stated its support of Drive 2020, Technicolor's new strategic plan as approved by the Board of directors on February 18, 2015 and looks forward to working within the Board of directors on creating shareholder value.
Pursuant to this agreement and given Vector's position as the largest shareholder of the Company, the Board of directors will propose to the Shareholders' Meeting of April 9, 2015 to renew the term of office of Mr. David Fishman, a Vector representative, as the terms of office of the two Vector representatives expire at the Shareholders' Meeting. Vector Capital has also agreed that it shall vote in favor of resolutions submitted by the Board of directors to the 2015 and 2016 Shareholders' Meetings, unless they relate to dilutive equity issues or unless the average share market price of Technicolor over a 20-day period goes below 5€ and Mr. Fishman steps down from the Board at that time. Pursuant to this settlement, the two parties shall also put an end to all ongoing legal disputes between them.
Didier Lombard, Chairman of the Board stated "We are pleased to have reached an agreement with Vector who helped stabilize Technicolor's shareholder base in 2012 and was instrumental in helping the Company deliver its financial objectives one year early. We will now focus our efforts on implementing the Drive 2020 strategic plan and on continuing to deliver value to Technicolor's stakeholders."
David Fishman commented "Vector continues to see great potential at Technicolor and we continue to support the Company and its management team. We support the implementation of the Drive 2020 strategic plan and we look forward to collaboratively working within the Board on its shareholder value creation aspects."
Technicolor, a worldwide technology leader in the media and entertainment sector, is at the forefront of digital innovation. Our world class research and innovation laboratories enable us to lead the market in delivering advanced video services to content creators and distributors. We also benefit from an extensive intellectual property portfolio focused on imaging and sound technologies, based on a thriving licensing business. Our commitment: supporting the delivery of exciting new experiences for consumers in theaters, homes and on-the-go. www.technicolor.com
Technicolor shares are on the NYSE Euronext Paris exchange (TCH) and traded in the USA on the OTCQX marketplace (TCLRY).
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