Leitch Technology to acquire Videotek

Leitch Technology Corporation has entered into a definitive agreement to acquire Videotek, Inc.
A privately held video equipment company, Videotek specialises in test and measurement products. The companies expect to close the transaction in May 2004, and have agreed to a purchase price of approximately $18 million (US) cash. Leitch will fund this acquisition through its existing cash balances.
Videotek extends Leitch's position in the market to enable truly Integrated Content Environments (ICE) that streamline workflow for broadcast and media companies. For over 30 years, Videotek has been designing and manufacturing leading-edge video and audio equipment for the broadcast, production, cable, satellite, education and government markets. By combining the Videotek line of test and measurement equipment, video demodulators, routing switchers, colour correctors and processors with Leitch's content production, storage, processing, transmission and monitoring products, Leitch will offer a comprehensive array of products, technologies and services for the television marketplace.
"No company is as focused as Leitch when it comes to television broadcast solutions," said Tim Thorsteinson, Leitch president and CEO. "We are excited at the prospect of how our companies and customers will mutually benefit from the combined infrastructure and industry presence. Leitch will deliver an extensive range of products as the Videotek offering dovetails perfectly with our video processing and distribution lines. Videotek is a well-run company with a stellar reputation for quality among customers. The combination of our companies provides our customers with a broader complement of products and leverages R&D resources for further integration of platforms and software. Our substantial product offering will continue to be supported by unparalleled service to our customers."
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