Keysight Technologies announced its intention to acquire the entire share capital of ESI Group SA at a price per share of 155 euros in cash.
The acquisition values the entire share capital of the ESI Group at 913 million euros on a fully diluted basis. Founded in 1973, ESI Group is an innovative leader in virtual prototyping solutions in the automotive and aerospace end markets.
ESI Group's sophisticated software solutions simulate a product's behavior during testing and real-life use. The company's portfolio is highly differentiated, with predictive simulation technology for the most challenging system projects.
ESI Group's real-time digital twin solutions combine model-driven simulation with data-driven testing to create virtual simulations, and its immersive industrial solutions enable workflow automation and virtual manufacturing.
“I am delighted that ESI today announces this significant milestone with Keysight,” said Cristel de Rouvray, CEO of ESI Group. “Over the last four years, our entire team has been dedicated to transforming the ESI Group into a leading player in the industrial software and simulation sectors. The core values, vision and ambition that have driven Keysight throughout its long and venerable history and under its current leadership are perfectly aligned with those of the ESI Group: pioneers enabling innovation for the industry. I believe this operation holds the promise of an exciting and sustainable future.”
In the current era of digital transformation, product development in many industries is shifting left in the design cycle and becoming virtualized. Computer-aided engineering supports this shift with virtual prototyping of products, manufacturing processes, and workflows.
By including ESI Group in its electronics design and testing portfolio, Keysight will further expand its software prototyping capabilities for computer-aided engineering, enabling customers to accelerate time to market and reduce operating costs, while while reducing their environmental footprint.
“Keysight’s acquisition of ESI Group accelerates our strategy of providing software-centric solutions with virtual prototyping and advanced simulation capabilities,” said Satish Dhanasekaran, president and CEO of Keysight. “Keysight and the ESI Group share rich cultures of innovation and strong commitments to solving customers’ most complex challenges, which will enable the creation of value for all stakeholders. The Keysight team looks forward to working with ESI Group’s world-class talent to unlock opportunities and drive our combined success.”
