Avid Sued for Alleged Misrepresentations in Private Equity Deal

Avid Technology Inc. officers and directors allegedly misled investors about a proposed $1.4 billion buyout by private equity firm STG Partners LLC, a shareholder said in a lawsuit.

The maker of video and audio editing software issued a proxy statement last month that allegedly misrepresents or omits the company’s financial forecasts and financial analyses underlying financial adviser Goldman Sachs & Co. LLC’s fairness opinion on the deal, as well as potential conflicts of interest faced by Avid insiders and more background details, according to the complaint filed Wednesday in US District Court for the District of Delaware.

Plaintiff ...