SAN DIEGO, Calif. – May 5, 2006 – DivX, Inc. today announced that it has filed a registration statement with the Securities and Exchange Commission for an initial public offering of its common stock. The offering is expected to include shares sold by DivX and by certain of its stockholders. The number of shares to be offered and the price range for the offering have not yet been determined.
The offering is being made through an underwriting syndicate led by J.P. Morgan Securities Inc. acting as sole book-running manager. Banc of America Securities LLC, Cowen & Co., LLC, Canaccord Adams Inc. and Montgomery & Co., LLC will act as co-managers.
A registration statement relating to these securities has been filed with the Securities and Exchange Commission, but has not yet become effective. These securities may not be sold nor may offers to buy be accepted before the registration statement becomes effective. This release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any state in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state.
When available, copies of the written preliminary prospectus relating to the offering can be obtained by contacting the prospectus department at J.P. Morgan Securities Inc., 4 Chase Metrotech Center, Brooklyn, NY 11245, (718) 242-8002.
About DivX
DivX creates products and services designed to improve the experience of media. Our first product offering was a video compression-decompression software library, or codec, which has been actively sought out and downloaded over 180 million times in the last four years, including over 50 million times during the last twelve months. We have since built on the success of our codec with other consumer software, including the DivX Player application. We distribute this software from our website, DivX.com, which averaged over five million unique visitors per month during the first quarter of 2006. We also license our technologies to consumer hardware device manufacturers and certify their products to ensure the interoperable support of DivX-encoded content. Over 35 million DivX Certified hardware devices have been shipped worldwide, including approximately 8.5 million devices reported to us by our customers during the fourth quarter of 2005. In addition to technology licensing to consumer hardware device manufacturers, we currently generate revenue from software licensing, advertising and content distribution.
