The European Commission has approved Avid Technology's proposed acquisition of Pinnacle Systems, meaning the deal will proceed.

The rubber stamp was the final regulatory clearance the parties required. They expect to complete the acquisition on August 9, 2005.
"Now that we have cleared regulatory review in Europe, we can complete the transaction and begin moving ahead with our plans for the combined company," said David Krall, Avid's president and CEO.

"Over the past few months, we have developed an integration plan that leverages our respective talents and technologies. Following next week's scheduled closing, we look forward to putting that plan into effect to capitalise on the opportunities that will result from the strength of this combination."
Upon the closing of the acquisition next week, Pinnacle shareholders will receive approximately 6.2 million shares of Avid stock and approximately $71 million in cash.