More hints of Avid intentions

From Avid’s most recent 8K filing:

Avid Technology, Inc. (the “Company”) appointed Kenneth A. Sexton as Chief Administrative Officer of the Company effective January 21, 2008. In this role, Mr. Sexton will oversee all of the Company’s administrative functions, including finance, information technology, legal, human resources and investor relations.

In 2007, Mr. Sexton, age 53, served as Executive Vice President and Chief Financial Officer of webMethods, Inc., a provider of business integration software solutions. In 2006, Mr. Sexton served as Executive Vice President and Chief Financial Officer of Infor, Inc., an enterprise software company. From 2004 to 2005, Mr. Sexton served as Chief Executive Officer and Chairman of the Board of Axentis, Inc., a privately-held provider of enterprise governance, risk and compliance management software. From 2002 to 2004, Mr. Sexton was Executive Vice President and Chief Financial Officer of Peregrine Systems, Inc., an infrastructure management software company.

A quick résumé check reveals that Sexton oversaw these or similar operations for webMethods during its sale to Software AG, and Peregrine Systems during its sale to HP. Axentis is privately held.

Like the new CEO, Sexton doesn’t have a history of sticking with the company for the long haul. Get in, fix it, sell it. Of course, as they say, past performance does not imply future results. But if I were a betting man…

4 Thoughts on “More hints of Avid intentions

  1. TxnByBrth on January 22, 2008 at 1:02 pm said:

    This team has accomplished pretty much what they set out to do, and with the blessings of most involved. As in any endeavor, there are likely winners and losers as a result of change…but I’d point out something that should be of interest: I believe I’m correct when I say it isn’t often, if ever at all, that a company like Peregrine can be brought out of bankruptcy where the common stockholder retains some value…as was the case, I believe, when Greenfield and Sexton took the reins of Peregrine. As a betting man I never bet more than I can afford to lose…yet some winning wagers, like that memorable shot in golf that comes at a great time in the round, allows me to know it can happen again, especially under the right circumstances and conditions, if I am able to reduce the risk by knowing the history…

  2. AvidWatcher on January 22, 2008 at 2:24 pm said:

    I could not agree more. Avid got caught in a stalled private equity buyout when the private equity market dried up…since then the #1 shareholder put their ringer, John Park on the Board (who also happened to work at the #2 Avid shareholder Columbia Wanger for 10 years), then Krall got canned and now the private equity shareholders want to get their profit out (stem their loss?) any way they can. Certainly, one way is managing the company to a better place but given the disruption Avid is feeling from FCP; the other way is to chop it up and sell it off to the highest bidder.

  3. R. Lawson on January 22, 2008 at 8:54 pm said:

    This is all well and good but I’m not a shareholder. The company I work for is heavily invested in Avid as a “Total Broadcast Solution”.

    I’m wondering whether these folks will support and continue the work that Graham Sharp started or will they simply pull the plug. Sharp’s “Year of bug fixes” has made a noticeable difference for me, for the better. I hope that work isn’t squandered.

  4. TxnByBrth on January 23, 2008 at 12:17 am said:

    R.Lawson:

    I’d be surprised if whatever comes out of the new team impacts the quality of their deliverables in a negative manner. It is a given that everyone will not be totally happy with whatever changes take place…but historically the changes this team implements are inherently best for more than just the stakeholders. At Peregrine there were many who were more than happy to screw the little guy (users whose business and livelihood depended on support, the small stockholder, etc) and maximize their own interests at the expense of others…yet it didn’t happen.

    There are other issues and influences at work here that cause me to believe this isn’t the run of the mill turn around for this team…I’m bias to a certain extent because I have followed Greenfield’s activities from his early days at Execucom, Sage Software, Intersolv, Merant, Peregrine, GXS and now Avid…I was not familiar with Avid before Greenfield accepted the CEO’s post…and I don’t know Coach Belichick, but the smart money is on NE…

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