Avid Technology Stock Rises After an Activist Investor Ups Its Stake
Shares of Avid Technology (NASDAQ: AVID) climbed steadily on Friday after activist investor Impactive Capital increased its stake in the company. By the end of the day, the stock had risen a full 11%.
Impactive Capital first disclosed an 8.5% stake in Avid back in September, and entered into a nondisclosure agreement at that time. That allowed Avid management to speak candidly with its new influential investor. Later in October, Impactive co-founder Christian Asmar was added to Avid's board of directors to, as he said, help it "deliver meaningful shareholder value."
Shareholder value hasn't exactly been unlocked since then. The stock is now almost exactly where it was then.
Source Fool.com
