Avid Technology has confirmed it has entered into a definitive agreement to be acquired by an affiliate of STG in an all-cash transaction valuing Avid at approximately $1.4 billion, inclusive of the company’s net debt.
The deal will see Avid become a private company and is expected to close in the fourth quarter of 2023.
Avid said its board of directors unanimously approved the deal, which is subject to Avid stockholder approval, regulatory approvals and other customary closing conditions.
“STG’s expertise in the technology sector and significant financial and strategic resources will help accelerate the achievement of [Avid’s] strategic vision, building on the momentum of our successful transformation achieved over the past several years,” said Jeff Rosica, Avid’s chief executive officer and president.
“This transaction represents the start of an exciting new chapter for Avid, our customers, our partners and our team members and is a testament to the importance of Avid and our solutions in powering the media and entertainment industry.”
William Chisholm, managing partner of STG added, “STG has admired Avid’s heritage as a category creator and pioneer in the media and entertainment software market for many years. We are excited to partner with Jeff and the management team to build on the Ccmpany’s history of delivering differentiated and innovative content creation and management software solutions. We look forward to leveraging our experience as software investors to accelerate Avid’s growth trajectory with a deep focus on technological innovation and by delivering enhanced value for Avid’s customers.”
