Synopsys Completes Coverity Acquisition
Synopsys Enters Software Quality and Security Market as Market Leader
MOUNTAIN VIEW, Calif. -- March 25, 2014 -- Synopsys, Inc. (Nasdaq:SNPS), a global leader providing software, IP and services used to accelerate innovation in chips and electronic systems, has completed its acquisition of Coverity, the leading provider of software quality, testing and security tools. The value of the transaction is approximately $334 million net of cash acquired, which Synopsys is funding using a combination of cash and approximately $200 million in debt.
Coverity products reduce the risk of quality and security defects, which can lead to the catastrophic failures that plague many of today's large software systems. Together, Synopsys and Coverity intend to improve software quality and help ensure mission-critical applications are built to withstand increasing security threats.
With this acquisition Synopsys enters a new, growing market geared toward enterprise IT and independent software providers in industries such as financial services, energy, entertainment and retail. The acquisition also opens up opportunities for Synopsys to increase its breadth and support to the semiconductor and systems space. To address the needs of software developers across the board, Synopsys will invest in delivering innovations in quality and security testing that can further reduce the risk of software failures and security breaches.
Based on a preliminary analysis, due to the impact of purchase accounting and the associated deferred revenue haircut, Synopsys anticipates the acquisition to contribute approximately $20-25 million to fiscal 2014 revenue. Therefore, Synopsys would expect the transaction to be approximately $0.10-0.13 per share dilutive in fiscal 2014, be roughly neutral in the second half of fiscal 2015, and accretive in fiscal 2016 (all on a non-GAAP basis). Synopsys anticipates including specific guidance that includes the impact of Coverity when we report fiscal second quarter results in May.
Coverity will be led by John Chilton, senior vice president and general manager for Coverity.
About Synopsys
Synopsys, Inc. (Nasdaq:SNPS) accelerates innovation in the global electronics market. As a leader in electronic design automation (EDA) and semiconductor IP, Synopsys delivers software, IP and services to help engineers address their design, verification, system and manufacturing challenges. Since 1986, engineers around the world have been using Synopsys technology to design and create billions of chips and systems. Learn more at www.synopsys.com. For more information on Coverity, visit www.coverity.com.
|
Synopsys, Inc. Hot Verification IP
Related News
- Synopsys Completes Acquisition of PikeTec GmbH
- Synopsys Completes Acquisition of WhiteHat Security
- Synopsys Completes the Acquisition of the Semiconductor and Flat Panel Display Solutions from BISTel
- Synopsys Completes Acquisition of MorethanIP
- Synopsys Completes Acquisition of Certain IP Assets from INVECAS
Breaking News
- Keysight, Synopsys, and Ansys Deliver Radio Frequency Design Migration Flow to TSMC's N6RF+ Process Node
- Siemens collaborates with TSMC on design tool certifications for the foundry's newest processes and other enablement milestones
- Leveraging Cryogenics and Photonics for Quantum Computing
- Kalray Joins Arm Total Design, Extending Collaboration with Arm on Accelerated AI Processing
- Credo at TSMC 2024 North America Technology Symposium
Most Popular
- Huawei Mate 60 Pro processor made on SMIC 7nm N+2 process
- Silicon Creations Reaches Milestone of 10 Million Wafers in Production with TSMC
- GUC provides 3DIC ASIC total service package to AI/HPC/Networking customers
- Analog Bits to Demonstrate Numerous Test Chips Including Portfolio of Power Management and Embedded Clocking and High Accuracy Sensor IP in TSMC N3P Process at TSMC 2024 North America Technology Symposium
- Alphawave Semi: FY 2023 and 2024 YTD Trading Update and Notice of Results
E-mail This Article | Printer-Friendly Page |