Siemens is buying the company Mentor Graphics for $ 4.5 billion
Siemens reported the existence of an agreement to purchase the company Mentor Graphics. The acquisition is part of the strategy Vision 2020, aimed at the formation of the «digital industry» (Digital Industrial Enterprise) through the development of industrial software. The amount of the transaction, approximately equal to $ 4.5 billion, 21% higher than the value of the shares of Mentor Graphics at the close of trading on 11 November. The Board of Directors Mentor Graphics has already approved the deal and recommended shareholders to do the same.
Following the transaction, Siemens will have at their disposal software Mentor Graphics for the design of integrated circuits and systems, simulation, and control of production processes. Probably not refuse to mention the fancy words, the creators of a press release noted that it is very important to create a modern smart devices, including self-driving cars.
Company Mentor Graphics with its headquarters in the United States has employees in 32 countries. As at the end of the fiscal year, ended it on 31 January, the company exceeded 5,700 people, the annual income was approximately $ 1.2 billion with operating margins over 20%.
To make a purchase, necessary usual in such cases, regulatory approval. If they realise the deal could be completed in the second quarter of 2017. As a result, the company Mentor Graphics will become part of Siemens under the name DF Division.