Avid acquired by STG for $1.4 Billion

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Avid Technology, one of the most well-known brands enabling production in the media and entertainment industry for over three decades, is set to be acquired by an affiliate of Symphony Technology Group (STG) for approximately $1.4 billion. The acquisition will be an all-cash transaction, including Avid’s net debt.

With the deal, Avid will be taken private and delisted from the Nasdaq. This move values Avid stock at $27.05 per share, a 32.1% premium over its share price on May 23, 2023, which preceded any media speculation about a possible company sale.

Jeff Rosica, Avid’s CEO and President, expressed optimism regarding the acquisition.

“STG’s expertise in the technology sector and their strategic resources will further bolster our mission,” Rosica said. “This partnership marks a transformative phase for Avid, reinforcing the significance of our solutions in driving the media and entertainment industry forward.”

Key transaction details:

  • The acquisition received unanimous approval from Avid’s Board of Directors.
  • The deal is slated to close in Q4 2023, pending stockholder approval, regulatory clearances, and other standard conditions.
  • Financing for the transaction involves both equity and debt sources and lacks a financing condition.
  • Post-acquisition, Avid will transition to a privately-held company, ending its trading on the Nasdaq.