PRG's shareholders, which include management shareholders, PRG's founders and Boston Ventures, have approved the deal. Tony Bolland of Boston Ventures commented: "We think this is the kind of transaction that will position PRG as a global brand leader in the entertainment services industry." Upon closing, the transaction will result in a fully integrated equipment rental and services company for automated and conventional lighting and audio systems, as well as scenery fabrication and automation technologies to serve the entertainment industry from facilities in 13 cities, worldwide.

Both PRG and VLPS have often been at the forefront of an industry that has been traditionally 'cottage' in scope. In this environment, both companies have seized industry leadership roles. PRG's Jeremiah 'Jere' Harris and H.R. 'Rusty' Brutschˇ III of VLPS have been recognised for being at the vanguard of leadership and innovation in the industry's development. At the new PRG, Harris will be chairman and chief executive officer and Brutschˇ will be vice chairman and chief technology officer.

"This is a new beginning for our company," said Jere Harris."We are taking the entertainment equipment and technology sector to the next level of development, responding to customer demands for more comprehensive production solutions available under one roof and new, more creative and more personalised approaches that bring productions to life. At the same time we are bringing stability, resources and a stronger business orientation to an industry that is highly fragmented and under-capitalised."

"This is a very positive milestone for our companies, our employees and the industry," Harris continued. "We will have the largest inventory of new, state-of-the-art equipment in the world and we will provide timely and creative, integrated technologies to our customers in any venue around the globe."

Rusty Brutschˇ added, "Integration of equipment technologies and services solutions is inevitable. Our clients are continually looking for efficiencies, and that requires companies like ours to have a depth of resources and be broadly responsive to their creative demands. The merger of our two companies will enable us to create and provide new technologies with a broad scope and economy of scale to better serve the needs of our customers."

PRG will maintain its headquarters facilities in New Windsor, NY. The new PRG has operating facilities strategically in most major entertainment locations, including Chicago, Las Vegas, London, Los Angeles, New York City and vicinity, Michigan, Nashville, Orlando, Tokyo and Toronto, among others.

In other PRG news, Group Vice President Bill Groener has left the company to become Vice President of North America Sales at Color Kinetics, overseeing direct and channel sales for the company's Lighting Systems business. In the wake of Groener's departure two key PRG executives, Joe Schenk and Anne Johnston, will take over the management of the company's Integrated Solutions Group. Schenk will lead the group's West Coast operations while Johnston leads the East. "Assumption of Bill's responsibilities by Joe and Anne will be a natural transition for us," says Michael Tomkin, president of PRG. "Each is intimately familiar with the operations of the group. Each also has unique expertise that will help the group's clients capitalise on important new trends in the evolution of entertainment technology."

Groener will acquire responsibility for sales, operations, finance and administration across three of the Color Kinetics' subsidiaries. Commenting on his new position, Groener said: "I look forward to this new challenge, and to helping Color Kinetics achieve its North American sales objectives."

Adding his thoughts, Color Kinetics President and COO William Sims commented: "We're extremely pleased to welcome Bill, whose considerable industry background includes strong leadership within both manufacturing and distribution roles, and combines the sales, management and technical expertise required to grow Color Kinetics' direct and channel sales efforts." .