Acquisitions US software firm announces takeover offer for CAD/CAM supplier Delcam

At least one major Delcam shareholder has already given its support for the deal.

Related Companies

Autodesk GmbH

Delcam International PLC

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Renishaw plc

US-based Autodesk said it intends to acquire the UK software firm Delcam for £20.75 per share, or approximately £172.5 million (€205 million).

In a statement, Autodesk said the transaction will be structured as a cash offer for all the outstanding shares of Delcam, is subject to customary closing conditions including regulatory approvals, and is expected to close in Autodesk’s first quarter of fiscal 2015. The company noted that it expects to use its non-U.S.-based cash for the transaction.

Shareholder weighs in

UK measurement and tool and mould equipment supplier Renishaw is backing the bid. In a statement, the company, which holds some 1.5 million shares of Delcam, said: “Renishaw has given an irrevocable undertaking to Autodesk to accept the offer, which will be suspended if any third party should announce a firm intention to make a general offer for all shares in Delcam at a cash price of £22.30 or more per share, or which represents a value equivalent to such amount.”

Autodesk President and CEO Carl Bass said, “Today we are taking an important step on our path toward delivering a better manufacturing experience. Together Autodesk and Delcam will help further the development and implementation of technology for digital manufacturing.”

Birmingham-based Delcam has more than 30 offices worldwide, approximately 600 employees, and reported revenues for its fiscal 2012 of £47.1 million, Autodesk said.

The company quoted Delcam CEO Clive Martell as saying, “I am very excited by the opportunities from combining Delcam with Autodesk to create a compelling platform from which to service both companies’ manufacturing clients. The offer is at a level which recognizes the potential of Delcam and provides an attractive opportunity for shareholders to realize value for their current holdings in cash, while at the same time opening up new opportunities for our staff and partners operating within the wider platform of the Autodesk group.”

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