News of the potential sale saw the company’s shares leap, valuing the company around US$1 billion

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Avid is reportedly exploring a potential sale, according to a report in Reuters. The company is working with Goldman Sachs Group on the sale process.

Avid shares were up 18% following the news, valuing the company at US$1 billion (£808 million).

The company has led the professional video and audio editing market for many years, with many of the leading TV and film projects cut on Avid Media Composer, with audio post-production on Avid Pro Tools.

In its first-quarter earnings this year, Avid’s active paid software subscriptions grew 22% year-on-year. Reuters reports that the company missed analysts’ expectations, though, and its shares are down around 20% year-to-date.

At the time, Avid chief executive Jeff Rosica said supply chain issues created “substantial and unexpected gross margin headwinds for audio hardware.”

Avid’s largest shareholder is Impactive Capital LP.

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