Avid Technology Inc. on Wednesday announced that its shareholders and the shareholders of Pinnacle Systems Inc. have given the thumbs up to a proposed acquisition of Pinnacle by Avid. The deal still has to jump regulatory hurdles imposed by European regulators, according to the announcement.
Avid and Pinnacle announced acquisition plans in late March. Under the terms of the agreement, Avid gives Pinnacle shareholders 0.0869 shares of Avid stock and $1.00 in cash for each share of Pinnacle stock — about 6.2 million shares and $71 million in cash, according to the report.
Tewksbury, Mass.-based Avid was a pioneer in the development of nonlinear digital video editing systems, and caters to film, television and advertising industries. The company has expanded in recent years to cover other segments of the digital also owns Digidesign, makers of the industry-standard Pro Tools audio mastering and music creation software, 3D software maker Softimage, Alienbrain digital asset and production management software and M-Audio, makers of audio hardware for musicians and hobbyists. Pinnacle makes digital video products as well, with an emphasis on the Windows-based personal computer market.