Synopsys to Sell Unit for as Much as $2.1 Billion to Private Equity Firms
- Software integrity unit had hampered Synopsys’ profit growth
- Synopsys recently agreed to an unrelated $34 billion purchase
The Synopsys headquarters in Mountain View, California.
Photographer: David Paul Morris/BloombergThis article is for subscribers only.
Chip-design company Synopsys Inc. is selling its software integrity business to two private equity firms for as much as $2.1 billion in cash.
Clearlake Capital and Francisco Partners are buying the cybersecurity-focused business and will run it as a new, as-yet unnamed independent company, according to a statement issued Monday. Synopsys is getting $1.5 billion at closing, $125 million over five quarters and as much as $475 million contingent upon a specified rate of return.