IPE has pulled out of a proposed merger with TSL.

In September last year, the systems integrators and kit manufacturers announced that they wanted to combine the companies.

The proposed deal involved IPE adding its lineup of Integrated Display Systems (IDS) products to TSL Products’ portfolio of broadcast equipment.

The companies also intended to combine their systems integration teams.

But some seven months after the merger was mooted IPE decided the deal was not commercially viable.

Broadcast understands that the two companies had made progress with the merger, with some TSL staff based at IPE’s offices until earlier this month.

IPE director and co-owner Colin Judge said that after “careful consideration” the Hertfordshire business decided against the deal.

Judge said he hoped TSL Products would continue to distribute the IDS range of servers, processors, touch screens and I/O boxes which combine the function of gallery clocks, tally lamps and production timers.

TSL Systems director of solutions Bruce MacGregor said: “We at TSL are disappointed that certain legal hurdles proved too complex to overcome to complete a full merger with IPE, however we continue to work closely together with them under existing commercial collaboration arrangements.

“Independently, TSL will continue to provide innovative, high quality, reliable SI solutions and products to customers in the UK and across the globe, building on recent successful contract wins for its growing SI subsidiaries in Dubai and Singapore and record recent sales for TSL Professional Products.”

Judge added: “IPE will remain an independent, customer-focused technology manufacturer and systems integrator to the broadcast market.

“This development will not affect any of IPE’s existing customers or projects or lead to any staff changes. In short, it is business as usual at IPE.”

Speaking generally about the systems integration sector Judge said: “I still think consolidation is necessary, certainly in the UK which I believe is over-saturated. There will be some degree of mergers and consolidation.”

He added that IPE was not in talks with any SIs about possible mergers.