Avid is to complete its proposed takeover of California-based video-editing firm Pinnacle Systems this week after the£259m deal was cleared by the European Commission.
Avid is to complete its proposed takeover of California-based video-editing firm Pinnacle Systems this week after the£259m deal was cleared by the European Commission.

The deal will expand Avid's offering of professional products with Pinnacle's MediaStream broadcast playout server and Deko on-air graphics system, plus it will give Avid an immediate foothold in consumer video. To date, Pinnacle has shifted over 10 million units of consumer software and hardware on the domestic market.

Avid chief executive David Krall said: "It's the next logical step in our long-term strategy. By acquiring Pinnacle's consumer video business, Avid will be able to tap into the next generation of video editors while they are still learning their craft, creating a large potential customer base."

Although the companies are based in the US, they both have extensive European operations and sales which makes them subject to EU competition law.

Avid's 2004 sales were about£352m, while Pinnacle posted sales of£183m last year.

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