Avid to Acquire Digital Audio Firm M-Audio for $80 Million

Authored by Mark Hefflinger on August 13, 2004 - 2:54am.

Tewksbury, Mass. -- Avid Technology, a major provider of video production technology, has agreed to pay $80 million in cash and 2 million shares of common stock to acquire Irwindale, Calif.-based M-Audio, a provider of digital audio and MIDI technology for electronic musicians and audio professionals. The deal also includes earn-out provisions, based on M-Audio's future financial performance. Founded in 1988, M-Audio has about 200 employees in the U.S. and Europe who develop products for the professional and consumer audio markets. "With this acquisition, we're bolstering our investment in the home studio market segment, the fastest growing portion of our audio business, where we achieved roughly 40% year-over-year growth in Q2 of 2004," said David Krall, CEO of Avid.
http://biz.yahoo.com/bw/040813/135133_1.html
http://www.avid.com
http://www.m-audio.com