Roxio has completed its acquisition of MGI Software.

Roxio announced its intentions to buy MGI on December 4, 2001. MGI is a developer of video-editing and digital-photo software.

Former shareholders of MGI will receive a total of 2,203,451 shares. Based on Roxio's closing price on January 31 this represents $35.4 million.

Roxio believes the acquisition will enable it to draw on a global installed base of over 100 million consumers.

Roxio's president and CEO Chris Gorog said: "This acquisition is key to our long-term strategy of providing a world-class suite of integrated digital-media products that is unmatched in the industry.

"We're delivering on our vision of being a one-stop shop, providing everything that consumers and OEMs need for a fun and successful digital-media experience."