Trading the Spread • 13 Comments
Apr. 21, 2014, 4:45 PM
- Along with its Q1 results, Cadence (CDNS) announces it's buying Jasper Design Automation, a provider of verification software tools to chipmakers, system developers, and IP providers, for $170M in cash ($140M exc. cash on hand).
- Cadence notes Jasper is a leader in the formal analysis segment of the verification tool market, and that many of the companies' joint customers are "increasingly adopting formal analysis to complement traditional verification methods, so as to better address the challenge of verifying increasingly complex and flexible IP designs and [SoCs]."
- The deal is expected to close in Q2, and will be paid for using both cash on hand and a credit facility. Cadence sees Jasper's technology complementing its System Development Suite. Jasper competes against Cadence archrival Synopsys (SNPS), which offers clients its Magellan formal analysis product.
- Cadence is guiding for Q2 revenue of $370M-$380M and EPS of $0.19-$0.21 vs. a consensus of $372.2M and $0.23. Full-year guidance is for revenue of $1.55B-$1.59B and EPS of $0.92-$1.02, in-line with. a consensus of $1.57B and $0.97.
Sep. 3, 2013, 1:38 PM
- ARM (ARMH +1.2%) is acquiring Cadence's (CDNS -1.3%) PANTA display controller core IP for an undisclosed sum. The acquired products include high-res display processor and display scaling coprocessor cores, both of which target high-end mobile devices and were developed in partnership with ARM.
- The products complement ARM's Mali GPU core line (seeing rapid unit growth), and give the CPU core giant one more product line to offer mobile chipmakers. The deal comes at a time when demand for high-res smartphone and tablet displays is taking off.
- Previous: ARM buys embedded device software vendor
Mar. 11, 2013, 4:42 PM
Cadence (CDNS) is acquiring processor core developer Tensilica for $380M in cash. The purchase marks a huge expansion of Cadence's IP licensing business for chipmakers - with Cadence's core chip design software ops showing limited growth, the company is apparently betting an expansion into complementary IP licensing fields will boost growth and help it stand out relative to archrival Synopsys (SNPS). Tensilica has over 200 licensees, including 7 of the world's top 10 chipmakers. The purchase will be financed using a combo of existing cash and a credit facility.| Mar. 11, 2013, 4:42 PM
Aug. 3, 2012, 4:25 PM
Synopsys (SNPS) is buying Taiwanese chip design software firm SpringSoft for $305M in cash. The price represents a 25% premium to SpringSoft's Friday close in Taipei. Synopsys expects the deal, which strengthens its offerings in the growing chip verification space, to be slightly accretive. "I hope they don’t get indigestion!," writes EE Times' Brian Bailey, noting the deal follows other Synopsys acquisitions. Rival Cadence (CDNS) has also been busy buying smaller peers.| Aug. 3, 2012, 4:25 PM
Jul. 2, 2012, 5:57 PM
Cadence (CDNS) has acquired Sigrity, a developer of tools for analyzing signal integrity within chips, circuit boards, and systems, for $80M. The chip design software market is dominated by Cadence, Synopsys (SNPS), and Mentor Graphics (MENT), and the companies try to keep it that way with the help of acquisitions. Synopsys recently bought rival Magma Design for $507M.| Jul. 2, 2012, 5:57 PM