Seattle-based streaming-turned-computer-vision company RealNetworks is officially a private company.
On Wednesday, the company announced it had finalized its acquisition by founder and CEO Robert Glaser and his affiliate firm Greater Heights LLC. The company first announced the planned acquisition in May, and the board approved the deal in July.
"Today, a new chapter begins at RealNetworks," Glaser said in a news release. "I want to thank Real's outgoing board for their diligent work over the years. More importantly I want to thank Real's many partners and customers, and our outstanding team. Truly, the best is yet to come."
The deal is taking RealNetworks private and off the Nasdaq. The company went public in 1997. Outstanding shares of the company have been converted into a right-to-receive-cash consideration of 73 cents per share. Glaser and his affiliates owned about 39% of the company's outstanding shares before the acquisition.
A committee of independent directors advised RealNetworks' board when considering the acquisition. In a special meeting earlier this month, about 91% of shareholder votes approved the deal.
RealNetworks, founded in 1994, provides facial recognition technology, text message management and casual games. The company also owns the once-ubiquitous digital media player RealPlayer. RealNetworks acquired Rhapsody in 2003, and Rhapsody began operating independently in 2010. In 2011, Rhapsody announced plans to acquire the file-sharing service Napster, and Rhapsody rebranded to the iconic Napster name 2016. RealNetworks sold Napster in 2020 for about $70.6 million.
RealNetworks gave a final glimpse into its financials as a public company during its third quarter earnings results, released in November. The company generated $11.7 million in revenue for the quarter, down from $14.3 million during the third quarter of 2021. In the fourth quarter of 2008, during RealNetworks' heyday with the RealPlayer, the company generated $152.6 million in revenue, as measured in 2009 dollars.
