01-16-2024: Synopsys announced the acquisition of Ansys in a $35 billion transaction—the biggest tech deal of the year
In January 2025 the transaction was officially approved by the European Commission
On January 16, 2024, Synopsys—a U.S. producer of software for semiconductor design—announced the acquisition of Ansys, a leading developer of engineering simulation software. The total acquisition amount was $35 billion. The deal is expected to be finalized in the first half of 2025, pending approval from Ansys shareholders, necessary regulatory authorizations, and the fulfillment of other customary closing conditions. On January 10 of this year, the European Commission granted conditional approval for the merger, subject to several conditions that both companies must meet.
Synopsys and Ansys stated that the merger aims to meet customer expectations for integrating "electronics and physics." Synopsys develops computational tools enabling chip manufacturers to design and test processors. The company boasts a diverse range of high-profile clients, including global graphics processor manufacturers Nvidia and Intel.
The acquisition of Ansys is intended to expand Synopsys's reach into the automotive, aerospace, and industrial equipment sectors, which increasingly recognize the growing role of semiconductors in their products. Ansys already holds a strong position in these industries. However, this raised concerns for the EU, which decided to review the merger for potential monopolistic implications.
Last week, the European Commission conditionally approved the Ansys acquisition. The approval requires Synopsys to sell its optical and photonics software division and for Ansys to divest its PowerArtist tool, used for analyzing power consumption in digital systems. These divestitures will require separate EU approval before the merger can proceed.
Ansys simulation software is widely used across the additive manufacturing industry to optimize designs for 3D printing. For example, the company collaborates with Materialise, integrating process simulation capabilities with the Magics build preparation tool.
The Synopsys-Ansys merger also impacts the additive manufacturing market, as Synopsys is likely to expand its portfolio of 3D printing software. As part of the deal, Synopsys will acquire from Ansys a comprehensive suite of computer-aided design (CAD) software and process simulation tools optimized for additive manufacturing.
Source: www.prnewswire.com