Transaction will help in creating leadership position for Synopsys in systems design solutions space as it will combine electronic design automation (EDA) portfolio of Synopsys with  Ansys’  simulation and analysis portfolio

NASDAQ listed ‘Synopsys’ announced its decision to acquire ‘Ansys’ at an enterprise value of $35 Billion. Ansys shareholders will receive $197.00 in cash and 0.3450 shares of Synopsys common stock for each Ansys share.

Transaction will help in creating leadership position for Synopsys in systems design solutions space as it will combine electronic design automation (EDA) portfolio of Synopsys with              Ansys’  simulation and analysis portfolio.

According to President and CEO of the Company, Mr Sassine Ghazi “The megatrends of AI, silicon proliferation and software-defined systems are requiring more compute performance and efficiency in the face of growing, systemic complexity. Bringing together Synopsys’ industry-leading EDA solutions with Ansys’ world-class simulation and analysis capabilities will enable us to deliver a holistic, powerful and seamlessly integrated silicon to systems approach to innovation to help maximize the capabilities of technology R&D teams across a broad range of industries,”

Over the past 60 years, the semiconductor industry has grown into a half-trillion-dollar industry.

Synopsys has been the catalyst for innovation and has been revolutionizing the process of designing semiconductor.

Earlier in letter addressed to stakeholders, Mr Sassine Ghazi said that Semiconductor Industry is expected to double its market value to one trillion dollars, by the end of the decade. Growth will be driven by the rise of artificial intelligence, silicon proliferation, and software-defined systems.

Company will be investing in its core business (design automation and IP businesses) for capitalizing on innovations.

Combination of resulting entity will significantly improve the product performance by pooling in the respective synergies.

Galactik Views