Avid® (Nasdaq: AVID) (the “Company”), today announced the
expiration and final results of the Company’s previously announced
cash tender offer (the “Offer”) for any and all of its outstanding
2.00% Senior Convertible Notes due 2020 (the “Notes”).
The Offer expired at 12:01 a.m., New York City
time, on May 9, 2019. As of the expiration of the Offer, Notes with
an aggregate principal amount of $73,986,000, representing
approximately 71.93% of the outstanding Notes, were validly
tendered and not validly withdrawn pursuant to the Offer. The
Company has accepted for purchase all Notes that were validly
tendered and not validly withdrawn pursuant to the Offer at the
expiration of the Offer at a purchase price equal to $982.50 per
$1,000 principal amount of Notes (plus accrued and unpaid interest
on such notes, up to but not including the settlement date). The
Company expects to settle the Offer on May 13, 2019.
After settlement, Notes with an aggregate
principal amount of approximately $28,867,000 will remain
outstanding.
“We are pleased with the results of the Offer as
71.93% of the outstanding Notes were tendered for purchase,”
commented Ken Gayron, Executive Vice President and Chief Financial
Officer of Avid. Mr. Gayron continued “The Notes not
tendered, amounting to an aggregate principal amount of
$28,867,000, will continue to accrue interest at 2% and will be
convertible into shares or cash, at Avid’s option, currently at a
conversion price of $21.94 per share. The remaining Notes mature on
June 15, 2020 and, given our cash position plus our undrawn
revolver of approximately $78,000,000 at quarter end along with our
forecasted free cash flow for the remainder of 2019, Avid expects
to have sufficient resources to repay the Notes.”
Jefferies LLC acted as dealer manager for the
Offer and Global Bondholder Services Corporation served as the
tender and information agent for the Offer.
This press release is for informational purposes
only and is not an offer to sell or purchase, the solicitation of
an offer to sell or purchase or the solicitation of consents with
respect to any securities discussed herein.
Forward-Looking Statements
This press release contains “forward-looking
statements.” These forward-looking statements generally can be
identified by use of phrases or terminology such as “may,” “will,”
“should,” “hope,” “could,” “would,” “expects,” “plans,” “intends,”
“anticipates,” “believes,” “estimates,” “approximates,” “predicts,”
“projects,” “potential” and “continues” or other similar words or
the negative of such terminology. Similarly, descriptions of the
Company’s objectives, strategies, plans, goals or targets contained
herein are also considered forward-looking statements. The Company
believes this press release should be read in conjunction with all
of its filings with the SEC and cautions its readers that these
forward-looking statements are subject to certain events, risks,
uncertainties, and other factors. Although the Company believes
that the expectations, statements and assumptions reflected in
these forward-looking statements are reasonable, it cautions
readers to always consider all of the risk factors and any other
cautionary statements carefully in evaluating each forward-looking
statement in this press release, as well as those set forth in its
latest Annual Report on Form 10-K, and other filings filed with the
SEC, including its Current Reports on Form 8-K. These and other
important factors could cause actual results to differ materially
from those anticipated or implied in the forward-looking
statements. All of the forward-looking statements contained herein
speak only as of the date of this press release.
About Avid
Avid delivers the most open and efficient media
platform, connecting content creation with collaboration, asset
protection, distribution, and consumption. Avid’s preeminent
customer community uses Avid’s comprehensive tools and workflow
solutions to create, distribute and monetize the most watched,
loved and listened to media in the world-from prestigious and
award-winning feature films to popular television shows, news
programs and televised sporting events, and celebrated music
recordings and live concerts. With the most flexible deployment and
pricing options, Avid’s industry-leading solutions include Media
Composer®, Pro Tools®, Avid NEXIS®, MediaCentral®, iNEWS®,
AirSpeed®, Sibelius®, Avid VENUE™, FastServe®, Maestro™, and
PlayMaker™.
© 2019 Avid Technology, Inc. All rights
reserved. Avid, the Avid logo, Avid NEXIS, Avid FastServe,
AirSpeed, iNews, Maestro, MediaCentral, Media Composer, NewsCutter,
PlayMaker, Pro Tools, Avid VENUE, and Sibelius are trademarks or
registered trademarks of Avid Technology, Inc. or its subsidiaries
in the United States and/or other countries. All other trademarks
are the property of their respective owners. Product features,
specifications, system requirements and availability are subject to
change without notice.
Investor Contact:
Whit Rappole
Avid
ir@avid.com
(978) 275-2032
PR Contact:
Jim Sheehan
Avid
jim.sheehan@avid.com
(978) 640-3152
Avid Technology (NASDAQ:AVID)
Historical Stock Chart
From Mar 2024 to Apr 2024
Avid Technology (NASDAQ:AVID)
Historical Stock Chart
From Apr 2023 to Apr 2024