Dassault Systèmes announced that they have entered into a definitive agreement to acquire Computer Simulation Technology (CST), for approximately 220 million euros. With the acquisition of CST, based near Frankfurt, Germany, Dassault Systèmes will complement their industry solution experiences for realistic multiphysics simulation on the 3D EXPERIENCE platform with full spectrum EM simulation. The CST STUDIO SUITE software is used by designers and engineers at more than 2,000 companies in the high-tech, transportation and mobility, aerospace and defense, and energy industries to evaluate all types of EM effects at every stage of electronic system design processes. Customers of their software suites include Airbus Defence and Space, Bosch Group, Frauscher Sensor Technology, Sirona and many more. In 2015 CST posted revenues of about 47 million euros.
“Electromagnetism is an essential part of a multiphysics simulation strategy for the development of smart and connected products, and IoT devices - from their complex design, to ensuring the performance, reliability and safety of their interactions with their surrounding environment,” said Bernard Charlès, Vice Chairman and CEO, Dassault Systèmes. “The acquisition of CST is part of our larger, ongoing mission to provide 3DEXPERIENCE universes to explore, accelerate and experience innovation that will achieve a greater harmony between product, nature and life.”
Dr. Bernhard Wagner, one of the Managing Directors of CST said - They know firsthand the formidable design hurdles their customers face today. “Increasingly, multiphysics have to be addressed during the design process in order to develop the most robust products and systems. The 3D EXPERIENCE platform is the ideal foundation upon which we can pursue our vision of combining our technologies to set the industry standard for realistic simulation and best meet our customers’ needs.”
While providing continuity for CST’s customers, Dassault Systèmes will integrate CST’s solutions into their existing portfolio of industry solution experiences for simulating structural mechanics, multi-body systems, heat transfer and fluids, to address the growing $600 million EM simulation market. This will offer a new industry standard in multiphysics and multiscale simulation of autonomous cars, connected homes, medical equipment, wearable electronics and other smart objects. Customers will be able to quickly create and analyze high fidelity electromagnetic behavioral models that simulate electronic, antenna, electrical device and electromechanical product function across all frequencies and length scales, as well as access design synthesis and simulation tools needed for intricate electronic systems design.
The purchase price of CST will be paid in cash. Completion of the transaction is subject to customary conditions precedent, including antitrust approvals in Germany and Austria. The transaction will be immediately accretive to Dassault Systèmes’ earnings. Closing is expected for Q4 2016.
