With this acquisition Siemens said it is aiming to strengthen its position as a leading technology company and its overall industrial software, leveraging Altair’s expertise in computational science and AI, simulation and analysis, and high-performance computing.
According to Siemens, the transaction will increase its digital business revenue by +8 per cent, adding approximately €600m to the digital business revenue of €7.3bn as reported in fiscal year 2023.
Altair shareholders will receive $113 per share, representing an enterprise value of approximately $10bn. The offer price represents a 19 per cent premium to Altair's unaffected closing price on October 21, 2024, the last trading day prior to media reports regarding a possible transaction.
In a statement, Roland Busch, President and CEO of Siemens AG, said: “Acquiring Altair marks a significant milestone for Siemens. This strategic investment aligns with our commitment to accelerate the digital and sustainability transformations of our customers by combining the real and digital worlds.
“The addition of Altair’s capabilities in simulation, high performance computing, data science, and artificial intelligence together with Siemens Xcelerator will create the world's most complete AI-powered design and simulation portfolio.”
James Scapa, Altair’s founder and CEO, added: “This acquisition represents the culmination of nearly 40 years in which Altair has grown from a startup in Detroit to a world-class software and technology company. We have added thousands of customers globally in manufacturing, life sciences, energy and financial services, and built an amazing workforce, and innovative culture.
“Siemens’ outstanding technology, strategic customer relationships, and honest, technical culture is an excellent fit for Altair to continue its journey driving innovation with computational intelligence.”
Siemens said the transaction is expected to be EPS (pre-PPA) accretive by year two post-closing, with closing of the transaction expected within the second half of 2025.
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