Siemens Acquires CD-adapco For $970 Million in Software Pushby
The deal to buy the Melville, New York-based company is a stock purchase agreement, Siemens said in a statement Monday. Last fiscal year, CD-adapco had revenue of close to $200 million after increasing it by more than 12 percent annually over the past three fiscal years on a constant currency basis.
Siemens is “sharpening its focus on growth in digital business and expanding its portfolio in the area of industry software,” the company said in the statement.
The deal will help Kaeser draw attention to Siemens’s efforts in the software market at an annual shareholder meeting Tuesday in Munich as the declining crude price saps orders from within the oil and gas industry.
CD-adapco makes computer programs used to simulate engineering processes such as the workings of combustion engines, according to its website. Siemens’s digital factory unit is the most profitable of its nine divisions, and was last significantly bolstered by the 680 million-euro ($736 million) acquisition of Belgian software maker LMS International in 2012.