Reuters: Avid Sale Could Happen Within Weeks

By Tom Butts
published

Company could be acquired by two Silicon Valley equity investors according to sources

Avid
(Image credit: Avid)

Since rumors spread in May that Avid Technology was considering putting itself up for sale, the Burlington, Mass.-based developer of video production gear has remained silent on the matter. In the meantime, a new report from Reuters yesterday indicated that the company could be bought by two private equity firms as early as this month. 

According to sources, Symphony Technology Group (STG) and Francisco Partners are in the running to acquire the company, which tapped investment bank Goldman Sachs Group to assist with the sale earlier this year. Avid—whose market capitalization hovered about $1 billion this week, will report its latest quarterly earnings on Aug. 9.

Based in Silicon Valley, both STG and Francisco partners focus mainly on technology investments. Avid's biggest shareholders include Impactive Capital LP, BlackRock Inc., Fidelity Investments and Vanguard Group. 

Avid declined to comment. 

Tom Butts
Tom Butts

Tom has covered the broadcast technology market for the past 25 years, including three years handling member communications for the National Association of Broadcasters followed by a year as editor of Video Technology News and DTV Business executive newsletters for Phillips Publishing. In 1999 he launched digitalbroadcasting.com for internet B2B portal Verticalnet. He is also a charter member of the CTA's Academy of Digital TV Pioneers. Since 2001, he has been editor-in-chief of TV Tech (www.tvtech.com), the leading source of news and information on broadcast and related media technology and is a frequent contributor and moderator to the brand’s Tech Leadership events.