Archive notice: This article was originally published on July 28, 2005. Links and embedded videos are preserved as part of the historical record.
The shareholders of Avid Technology and Pinnacle Systems agree to Avid’s declaration of intent to purchase Pinnacle and in this way move the acquisition further forward. As Avid states, completion of the transaction is now subject to approval by the European regulatory authority.
“We are very much looking forward to integrating Pinnacle into the Avid family. With the approval of the shareholders of both companies, we have now moved another step closer to our goal,” explains David Krall, Avid’s President and Chief Executive Officer: “We want to complete the acquisition in order to make use as soon as possible of the many opportunities opening up to us in the consumer sector and the professional video industry.”
On March 21, 2005, Avid and Pinnacle had announced that Avid had entered negotiations to acquire Pinnacle in a cash-and-stock transaction. As a result of these negotiations, Pinnacle shareholders receive 0.0869 shares of Avid stock and US$1.00 in cash for each Pinnacle share. At closing, Avid is expected to issue approximately 6.2 million shares and pay around US$71 million in cash.
