Japan’s Renesas Electronics Corporation announced on Thursday that it would acquire Altium Limited, listed in Australian Securities Exchange (ASX), for $5.9 billion in cash, to expand its offerings to include device design for customers.
Renesas will acquire all outstanding shares of Altium for a cash price of 68.50 Australian dollar (A$) per share, representing a total equity value of approximately A$9.1 billion and an enterprise value of A$8.8 billion, the statement added.
The acquisition will establish an integrated and open electronics system design and lifecycle management platform, enabling collaboration across component, subsystem, and system-level design.
Renesas’ acquisition of Altium’s will combine Altium’s cloud platform capabilities with Renesas’ embedded solutions, including high-performance processors, analog, power, and connectivity.
This integration will also allow seamless execution of electronic design steps on the cloud, with the ability to integrate third-party vendors across the ecosystem, according to the statement.
“Having worked closely with Renesas as a partner for nearly two years, we are excited to be part of the Renesas team as we continue to successfully execute and grow,” said CEO of Altium Aram Mirkazemi.
Renesas intends to procure the necessary funds for the transaction through the strategic utilisation of bank loans and the judicious allocation of available cash resources, the statement said.
It is important to note that this transaction does not have any financing conditions, which highlights Renesas’ strong financial position and confidence in completing the acquisition.
(1 U.S. dollar = 1.54 Australian dollar)
