Siemens to Acquire UGS
Siemens Automation and Drives becomes worldwide first supplier of software and hardware across the complete lifecycle of products Siemens moves to expand its industrial software portfolio through a definitive agreement to acquire UGS Corp., Texas, USA, a worldwide leading provider of Product Lifecycle Management (PLM) software and services.
The agreement was made between Siemens and the current owners Bain Capital, Silver Lake Partners and Warburg Pincus. The purchase price amounts to US $3.5 billion, including assumption of existing debt. The activities of UGS are to be assigned to the Siemens Automation and Drives Group (A&D). A&D will thus become the first supplier for the manufacturing industries to provide an end-to-end software and hardware portfolio encompassing the complete lifecycle of products and production facilities. The transaction is subject to the approval by the relevant authorities.
With a global workforce of 7,300 and more than 46,000 customers in 62 countries, UGS, headquartered in Plano, Texas, U.S., is a worldwide leader in PLM software and services. PLM is a mission-critical, enterprise business platform that helps companies innovate and grow by enabling them to digitally create, build and manage their products. UGS is a supplier to customers in the automotive, aerospace and defense, consumer goods, electronics and machinery industries around the world. UGS and Siemens A&D already started their business relationship in 2003 with joint projects addressing digital manufacturing technology.
UGS’ software portfolio covers the entire array of collaborative Product Data Management (cPDM), computer-aided design/computer-aided manufacturing/computer-aided engineering (CAD/CAM/CAE) and digital manufacturing simulation (digital factory), the company holds strong revenue and market share positions globally in digital manufacturing and cPDM - the fastest-growing segments within the PLM market. In fiscal 2005, the company reported revenue of just under US$1.2 billion, in the third quarter 2006, the company reported its 13th consecutive quarter of year-over-year revenue growth.
Source: Siemens Aktiengesellschaft