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2015-09-02

DTS, Inc.: DTS to Acquire iBiquity Digital Corporation

* Combines businesses with similar and compelling IP licensing models driving
diverse recurring revenue streams and high gross margins
* Expands DTS' leading suite of high definition audio solutions with
iBiquity's extensive patent portfolio and strong customer relationships in
automotive and radio broadcast
* DTS' global licensing platform combined with iBiquity's HD Radio(TM)
technology provides geographic and market expansion opportunities in
automotive, home and mobile
* Expected to drive strategic and financial synergies and be accretive
beginning in 2016

CALABASAS, Calif., Sept. 2, 2015 (GLOBE NEWSWIRE) -- DTS, Inc. (Nasdaq:DTSI),
a leader in high-definition audio solutions and audio enhancement
technologies, today announced it has entered into a definitive agreement to
acquire iBiquity Digital Corporation, the developer of digital HD Radio
technology for AM/FM audio and data broadcasting for approximately $172
million. DTS expects to finance the transaction through a combination of cash
on hand and debt.

iBiquity is the exclusive developer and licensor of HD Radio technology, the
sole FCC-approved method for upgrading AM/FM broadcasting from analog to
digital. HD Radio technology provides compelling benefits, including improved
audio quality, expanded content choices and new digital data services such as
album cover art and real-time traffic updates. iBiquity's partners include
leading automakers, consumer electronics and broadcast equipment
manufacturers, radio broadcasters, semiconductor and electronic component
manufacturers and retailers.

In particular, iBiquity has very successfully driven penetration of HD Radio
technology in the North American automotive OEM market. Every one of the 36
major auto brands serving the U.S. market offers HD Radio technology on some
of their vehicles, many as standard equipment. The Company's technology was
built into approximately 35% of cars sold in the U.S. in 2014, and DTS
expects the majority of North American vehicles to come equipped with HD
Radio technology over time. The combination is also expected to provide
opportunities for additional geographic, service and technology expansion.

"DTS has long been at the forefront of the highest quality audio technology,
and we saw a similar spirit at iBiquity, which identified an opportunity to
revolutionize traditional AM/FM broadcasting and is now strongly positioned
to capitalize on broadcast radio's ongoing digital upgrade," said Jon
Kirchner, chairman and CEO of DTS. "This transaction extends our strategy of
delivering a personalized, immersive and compelling experience across the
network-connected entertainment value chain, and complements our existing
suite of technology and content delivery solutions while enabling us to
strengthen our position in the large automotive OEM market. Consumers have
come to expect a higher quality sound experience in their car, and we believe
there is a tremendous opportunity for DTS to capitalize on the upgrade to HD
Radio technology as cars are increasingly equipped with screens and advanced
entertainment systems. We are thrilled to welcome the talented iBiquity team
to the DTS family."

"We are excited to join forces with DTS, a true pioneer in high definition
audio," said Bob Struble, president and CEO of iBiquity. "In DTS, we have
found a like-minded partner and we look forward to bringing our breakthrough
HD Radio technology to the DTS portfolio of solutions. Today's announcement
is an exciting step forward for our employees and customers, who will benefit
from the additional scale and enhanced resources of a larger collective
company."

The transaction is expected to close later in 2015 and is subject to customary
closing conditions. The transaction is expected to be accretive beginning in
2016.

iBiquity Digital Corporation is a privately held company based in Columbia,
Maryland with approximately 120 employees. After closing, Bob Struble will
continue to lead the HD Radio business for DTS.

Advisors

Centerview Partners LLC acted as financial advisor and DLA Piper LLP acted as
legal advisor to DTS, Inc. Moelis&Company LLC acted as financial advisor and
Jones Day acted as legal advisor to iBiquity Digital Corporation.

Conference Call Information for September 2, 2015

DTS will host a conference call and live webcast at 8:00 AM Eastern Time to
discuss additional details of the transaction. To access the conference call,
dial 1-888-539-3678 or 1-719-325-2315 (outside the U.S. and Canada). A live
webcast of the call and accompanying presentation will be available from the
Investor Relations section of the Company's corporate website
atwww.dts.comand via replay beginning two hours after the completion of the
call. An audio replay of the call will also be available to investors
beginning at 11:00 AM Eastern Time, September 2, 2015 through 11:00 AM
Eastern Time, September 9, 2015, by dialing 1-888-203-1112 or 1-719-457-0820
(outside the U.S. and Canada) and entering pass code 6768572.

About DTS, Inc.

Since 1993, DTS, Inc. (Nasdaq:DTSI) has been dedicated to making the world
sound better. Through its pioneering audio solutions for mobile devices, home
theater systems, cinema and beyond, DTS provides incredibly high-quality,
immersive and engaging audio experiences to listeners everywhere. DTS
technology is integrated in more than two billion devices globally, and the
world's leading video and music streaming services are increasingly choosing
DTS to deliver premium sound to their listeners' network-connected devices.
For more information, please visitwww.dts.com.

About iBiquity Digital Corporation

iBiquity Digital Corporation is the developer of HD Radio technology, which is
fueling the digital radio revolution in the United States and around the
world. The digital technology enables broadcasters to offer new and unique FM
content via HD2/HD3 channels, crystal-clear sound and data services on both
the AM and FM bands - all free, with no subscription fee. Leading
broadcasters, consumer electronics manufacturers, automakers and retailers
are committed to HD Radio technology. iBiquity Digital is a privately held
company with operations in Columbia, MD, Auburn Hills, MI, and Piscataway,
NJ. For more information, please visithdradio.comandwww.ibiquity.com.

Media Contact

Sard Verbinnen&Co for DTS, Inc.

John Christiansen/Jenny Gore/Alyssa Linn
(415) 618-8750

Investor Contact

DTS, Inc.

Geri Weinfeld
Director, Investor Relations
geri.weinfeld@dts.com

(818) 436-1231

Forward-Looking Statements

This document contains forward-looking statements within the meaning of
Section 27A of the U.S. Securities Act of 1933, as amended, and Section 21E
of the U.S. Securities Exchange Act of 1934, as amended. These
forward-looking statements, which are based on current expectations,
estimates and projections about the industry and markets in which DTS and
iBiquity operate and beliefs of and assumptions made by DTS, iBiquity and
their respective management teams, involve uncertainties that could
significantly affect the financial results of DTS or iBiquity or the combined
company. Words such as "expects," "anticipates," "intends," "plans,"
"believes," "seeks," "estimates," variations of such words and similar
expressions are intended to identify such forward-looking statements, which
generally are not historical in nature. Such forward-looking statements
include, but are not limited to, statements about the benefits of the
transaction involving DTS and iBiquity, including future financial and
operating results, the combined company's plans, objectives, expectations and
intentions. All statements that address operating performance, events or
developments that we expect or anticipate will occur in the future -
including statements relating to the increasing availability of HD Radio
receivers in new vehicles, opportunities for additional geographic, service
and technology expansion, integrating our companies, and the expected
timetable for completing the proposed transaction - are forward-looking
statements. These statements are not guarantees of future performance and
involve certain risks, uncertainties and assumptions that are difficult to
predict. Although we believe the expectations reflected in any
forward-looking statements are based on reasonable assumptions, we can give
no assurance that our expectations will be attained and therefore, actual
outcomes and results may differ materially from what is expressed or
forecasted in such forward-looking statements. For example, these
forward-looking statements could be affected by factors including, without
limitation:

* the possibility that iBiquity or DTS may be adversely affected by economic,
business and/or competitive factors before or after closing of the
transaction;
* the availability of HD Radio receivers in new vehicles;
* the ability to successfully complete the integration of the business being
acquired from iBiquity by, among other things, realizing revenue, expense
and other synergies, renewing contracts on competitive terms, successfully
leveraging the information technology platform of the acquired business,
and retaining key personnel; and
* any adverse effect to DTS' business or the business being acquired from
iBiquity due to uncertainty relating to the transaction.

This list of important factors is not intended to be exhaustive. Additional
risks and factors are discussed in reports filed with the Securities and
Exchange Commission ("SEC") by DTS from time to time, including those
discussed under the heading "Risk Factors" in its most recently filed reports
on Form 10-K and 10-Q. DTS assumes no obligation to update any
forward-looking statements, whether as a result of new information, future
events or otherwise, except as required by law.

DTS-I

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This announcement is distributed by NASDAQ OMX Corporate Solutions on behalf of NASDAQ OMX Corporate Solutions clients.
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: DTS, Inc. via Globenewswire

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