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Harris to acquire Encoda

Harris has signed an agreement to acquire Encoda Systems Holdings, a supplier of software and service solutions for the broadcast media industry, for $340 million.

The move follows a continuing contraction in the multichannel automation systems category, that has seen Harris buy Louth Automation in 1999 and the creation of Encoda, a result of the merger of Enterprise Software, Columbine JDS Systems, and Drake Automation, which occurred in 2000.

During a conference call with reporters, company officials said no layoffs would be imminent, although redundant resources, including products, R&D effects and employees, would be looked at and addressed accordingly.

Reinforcing its desire as a company to expand into automation, Harris executives said the future of its Broadcast Communications Division (BCD), led by Jeremy Wensinger, rests in its ability to help broadcasters and others automate their redundant processes as they centralize and consolidate operations and resources.

The transaction is expected to close in early November.

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