Renesas Electronics Corporation and Altium Limited have entered into a Scheme Implementation Agreement (SIA). That is, Renesas will acquire Altium by way of a Scheme of Arrangement under Australian law (Scheme).

Under the terms of the transaction, subject to the satisfaction of several conditions, Renesas will acquire all outstanding shares of Altium for a cash price of AUS$68.50 per share. This represents a total equity value of approximately AUS$9.1 billion (approximately ¥887.9 billion at an exchange rate of ¥97 to AUS$) and an enterprise value of AUS$8.8 billion (approximately ¥859.3 billion at an exchange rate of ¥97 to the AUS$).

Moreover, the acquisition enables two industry leaders to join forces and establish an integrated and open electronics system design and lifecycle management platform. Particularly, this allows for collaboration across component, subsystem, and system-level design. The transaction strongly aligns with Renesas’ digitalization strategy and represents the company’s first significant step in bringing enhanced user experience and innovation at the system level for electronics system designers.

Paves the Way for More Innovation

As technology advances, the design and integration of electronic systems become increasingly complex. The current electronics system design flow has become complicated and the iterative process involves multiple stakeholders and design steps, from component selection and evaluation to simulation and PCB physical design. Moreover, engineers must be able to design systems that are not only functional but also efficient and cost-effective under shortened development cycles.

Together, Renesas and Altium, under a shared vision, aim to build an integrated and open electronics system design and lifecycle management platform. Particularly, unifying these steps at a system level. The acquisition brings together Altium’s sophisticated cloud platform capabilities with Renesas’ strong portfolio of embedded solutions, combining high-performance processors, analog, power and connectivity.

Moreover, the combination will also enable integration with third-party vendors across the ecosystem to execute all electronic design steps seamlessly on the cloud. The electronics system design and lifecycle management platform will deliver integration and standardization of various electronic design data and functions. Furthermore, it will enhance component lifecycle management, while enabling seamless digital iteration of design processes. Thus, increasing overall productivity. This brings significantly faster innovation and lowers barriers to entry for system designers by reducing development resources and inefficiencies.

“Development processes continue to evolve and accelerate. With our Purpose ‘To Make Our Lives Easier’ in mind, our vision is to make electronics design accessible to the broader market. (Thus, allowing) more innovation through a cloud-based platform,” said Hidetoshi Shibata, CEO of Renesas.