SUNNYVALE, Calif.—(BUSINESS WIRE)—June 1, 2007— Synplicity, Inc. (Nasdaq: SYNP), a leading supplier of software for the design and verification of semiconductors, today announced the signing of a definitive agreement to acquire all of the outstanding shares of HARDI Electronics AB, a leading developer of off-the-shelf ASIC prototyping boards, for $24.2 million in cash. The ASIC prototyping market is one the fastest growing segments of the EDA industry, and this acquisition makes Synplicity the leader in this part of the ASIC verification market.
HARDI's ASIC Prototyping System (HAPS) is used worldwide by
industry-leading companies such as Broadcom, Conexant, LG, LSI Logic,
Marvell, Matsushita, Nokia, NXP, Philips, Samsung, Sharp, Sony, and
Gary Meyers, CEO of Synplicity, stated, "This is a major strategic
move for Synplicity. We will be able to immediately leverage our
existing ASIC verification products (Certify(R), Synplify(R) Premier,
Identify(R), and Identify Pro) by selling them together with the HARDI
ASIC prototyping boards. Next week, at the Design Automation
Conference in San Diego, California, we will unveil our ASIC
verification strategy that capitalizes on this acquisition. We're
particularly excited about 2008 when we anticipate combined revenues
in excess of $80 million."
HARDI's ASIC prototyping systems work seamlessly with Synplicity's
Certify and Synplify Premier synthesis products and its Identify and
Identify Pro RTL debugging solutions. ASIC verification teams can use
the combined Certify, Synplify Premier and HAPS system to quickly
create multi-million gate FPGA systems to verify ASIC functionality in
real time while enabling comprehensive software verification with
interfaces to real-world stimuli. Synplicity's Identify and Identify
Pro RTL debug products permit designers to conveniently debug these
systems at the RTL level instead of with timing-consuming gate level
"We at HARDI are excited about joining forces with Synplicity,"
said Lars-Eric Lundgren, Founder and CEO at HARDI Electronics AB.
"With Synplicity's product line and the combination of our sales
channels, we now have the opportunity to offer a comprehensive
best-in-class solution to the ASIC design community. We are committed
to a successful integration of our companies."
Synplicity will continue to support its world-wide customer base
using FPGA prototypes built from custom-designed prototyping boards
and those using off-the-shelf boards from other manufacturers through
the Partners in Prototyping program.
The acquisition is expected to close in June 2007, subject to
customary conditions of closing. Updated 2007 financial guidance will
be provided in Synplicity's second quarter earnings call.
Investor Conference Call
Synplicity will be holding an investor conference call from the
Design Automation Conference on Monday, June 4 at 2 p.m. (PDT) to
discuss the acquisition. A live webcast of the call will be available
on Synplicity's Web site at
Following completion of the call, a rebroadcast of the webcast
will be available at
investor.synplicity.com through June 30,
2007. For those without access to the Internet, a replay of the call
will be available from 5:00 p.m. (PDT) on June 4, 2007 through
midnight June 18, 2007. To listen to a replay, call 719-457-0820,
access code 7754523.
HAPS is a modular, high performance and high capacity FPGA-based
system for ASIC prototyping. HAPS comprises multi-FPGA motherboards
and standard or custom-made daughter boards which can be combined in a
wide variety of ways in order to quickly assemble ASIC prototyping
systems. Rapid assembly is facilitated by the availability of many
standard daughter boards including video processing, memory and
interfaces to Ethernet, USB, PCI Express and ARM(R) core modules.
Customers prefer the time-to-market advantage of using an
off-the-shelf prototyping solution which can save months in the
critical verification phase.
About HARDI Electronics
Founded in 1987, HARDI Electronics AB is a pioneer in the field of
advanced electronic design. The company's knowledge and experience
ranges from SoC design using full custom ASICs to a wide variety of
designs with programmable logic. HARDI introduced its first ASIC
prototyping product in 2000 and today has many successful
installations worldwide. The company is headquartered in Sweden and
was incorporated in the USA in 2005. The majority of the company is
owned by the founders and a minority is owned by the Swedish investor
Malmohus Invest AB.
Synplicity(R) Inc. (Nasdaq:
SYNP) is a leading supplier of
innovative software solutions that enable the rapid and effective
design of Programmable Logic Devices (FPGAs, PLDs and CPLDs) that
serve a wide range of communications, military/aerospace, consumer,
semiconductor, computer and other electronic systems markets.
Synplicity's tools provide outstanding performance, cost and
time-to-market benefits by simplifying, improving and automating key
design planning, logic synthesis, and physical synthesis and
verification functions for FPGA, FPGA-based ASIC verification and DSP
designers. Synplicity is the number one supplier of FPGA synthesis
solutions and has been rated #1 in customer satisfaction since 2004 in
EE Times' Annual FPGA Customer Survey. Synplicity products support
industry-standard design languages (VHDL and Verilog) and run on
popular platforms. The company operates in over 20 facilities
worldwide and is headquartered in Sunnyvale, California. For more
This press release contains forward-looking statements including,
but not limited to, statements regarding Synplicity's and HARDI's
ability to close the transaction, the expected timing of the
transaction, and the expected benefits of the transaction, including
Synplicity's goal to become a significant hardware and systems
supplier and the ability to create a single solution to customers'
ASIC verification and system integration problems. In some cases, you
will be able to identify forward-looking statements by terminology
such as "may," "will," "should," "expects," "can," "believes" or the
negative of these terms or other comparable terminology. These
statements are only predictions and involve known and unknown risks,
uncertainties and other factors that may cause the actual results to
differ materially from the forward-looking statements, including the
performance and benefits of Synplicity's software relative to relevant
industry methods, the growth and changing technical requirements in
the FPGA and ASIC markets, failure to retain key employees, failure to
satisfy closing conditions of the transaction and factors affecting
the successful integration of the two companies. For additional
information and considerations regarding the risks faced by
Synplicity, see its annual report on Form 10-K for the year ended
December 31, 2006 as filed with the Securities and Exchange
Commission, as well as other periodic reports filed with the SEC from
time to time, including its quarterly reports on Form 10-Q. Although
Synplicity believes that the expectations reflected in the
forward-looking statements are reasonable, Synplicity cannot guarantee
its future performance or achievements. In addition, neither
Synplicity nor any other person assumes responsibility for the
accuracy or completeness of these forward-looking statements.
Synplicity disclaims any obligation to update information contained in
any forward-looking statement.
Synplicity, Certify, Identify and Synplify are registered
trademarks of Synplicity, Inc. TotalRecall is a trademark of
Synplicity, Inc. All other names mentioned herein are the trademarks
or registered trademarks of their owners.