After winning EU approval for the $5 billion acquisition of Israeli video software company NDS last week, network equipment giant Cisco this morning announced that the purchase has now been completed.

Under the terms of the agreement, Cisco paid approximately $5 billion, including the repayment of debt and retention-based incentives. NDS was 51 percent-owned by private equity firm Permira and 49 percent by News Corp.

The networking gear maker snapped up the TV software developer primarily to reinforce its presence in the video communications market:

“NDS’ software platform, customer segments and services model complement Cisco’s networked video offerings and accelerate the delivery of Videoscape, Cisco’s comprehensive platform that enables service providers and media companies to deliver next-generation video entertainment experiences.

Through the NDS acquisition, Cisco has also expanded its global video footprint in new and emerging markets, further broadening its service provider presence and deepening customer relationships.”

NDS’ employees will join Cisco’s Service Provider Video Technology Group, led by SV Jesper Andersen. Dr. Abe Peled, formerly NDS chairman and CEO, becomes SVP and chief strategist for Cisco’s Video and Collaboration Group.

It’s the fifth acquisition for Cisco this year.

The company’s share price is up 1.15% in pre-market trading.

Also read: Cisco buys real-time network data analysis software firm Truviso; terms undisclosed