Pinnacle Systems Enters Into Agreement to Sell Steinberg Audio Software Business to Yamaha Corporation
Tuesday December 21, 12:01 am ET
MOUNTAIN VIEW, Calif., Dec. 21 /PRNewswire-FirstCall/ -- Pinnacle Systems, Inc. (Nasdaq: PCLE - News), a leader in digital video solutions, today announced that it has entered into a definitive agreement to sell its Hamburg, Germany-based Steinberg audio software business to Yamaha Corporation. The transaction, which is subject to regulatory approval, is expected to be completed during Pinnacle's third fiscal quarter ended March 31, 2005.
"Steinberg's accomplishments and leadership in the professional audio software industry are directly inline with Yamaha's long track record of success in that same industry," said Patti Hart, Pinnacle Systems Chairman and CEO. "We believe the deal is beneficial to both Pinnacle and Yamaha, and is absolutely the right move for Steinberg."
As part of the transaction, Steinberg and Pinnacle will cross-license certain intellectual property on a royalty-free basis and Pinnacle will continue to distribute Steinberg's WaveLab Lite audio editing product with Pinnacle Studio Media Suite.
"For Pinnacle Systems this decision continues to tighten the company's focus on our core strengths in the digital video solutions market," continued Hart. "We believe it also allows us to bring greater management and financial resources to leverage our core strengths in digital video for long-term market leadership and growth."
Pinnacle entered the audio business in January 2003 when it acquired Steinberg Media Technologies A.G., a market leader in professional audio software that was founded in 1984.