Cadence Completes Acquisition of Future Facilities

Rhea-AI Summary

Cadence Design Systems has successfully completed the acquisition of Future Facilities, enhancing its Intelligent System Design strategy. This purchase expands Cadence's multiphysics analysis and computational fluid dynamics (CFD) offerings. Future Facilities specializes in electronics cooling analysis and energy optimization for data centers, utilizing 3D digital twins to help clients, including major firms like HP and Equinix, improve their operations and lower their carbon footprint. This strategic integration is poised to deliver significant business value and broaden market opportunities.

Positive

• Strengthens Cadence's Intelligent System Design strategy.
• Expands capabilities in multiphysics analysis and CFD.
• Enhances offerings in data center energy performance optimization.
• Access to Future Facilities' established client base including industry leaders.

Negative

• Integration challenges may arise during the merger process.
• Potential unanticipated costs associated with the acquisition.
• Risks related to maintaining existing relationships with third parties.

SAN JOSE, Calif.--(BUSINESS WIRE)-- Cadence Design Systems, Inc. (Nasdaq: CDNS) today announced that it has completed the acquisition of Future Facilities. The addition of Future Facilities technologies and expertise supports the Cadence^® Intelligent System Design™ strategy and broadens its multiphysics system analysis and computational fluid dynamics (CFD) portfolios. Future Facilities’ electronics cooling analysis and energy performance optimization solutions for data center design and operations using physics-based 3D digital twins enables leading technology companies to make informed business decisions about data center design, operations and lifecycle management and reduce their carbon footprint. Future Facilities’ proven technologies serve a wide breadth of hyperscale, enterprise data center, managed services and colocation providers, including Hewlett Packard Enterprise, Digital Realty, Equinix and Kao Data.

About Cadence

Cadence is a pivotal leader in electronic systems design, building upon more than 30 years of computational software expertise. The company applies its underlying Intelligent System Design strategy to deliver software, hardware and IP that turn design concepts into reality. Cadence customers are the world’s most innovative companies, delivering extraordinary products from chips to boards to complete systems for the most dynamic market applications, including hyperscale computing, 5G communications, automotive, mobile, aerospace, consumer, industrial and healthcare. For eight years in a row, Fortune magazine has named Cadence one of the 100 Best Companies to Work For. Learn more at www.cadence.com.

Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, including but not limited to, statements regarding Cadence’s financial outlook, product development, business strategy and plans and market trends, opportunities, positioning and the integration of Future Facilities. These forward-looking statements are based on current expectations, estimates, forecasts and projections. Words such as “expect,” “anticipate,” “should,” “believe,” “hope,” “target,” “project,” “goals,” “estimate,” “potential,” “predict,” “may,” “will,” “might,” “could,” “intend,” “shall” and variations of these terms and similar expressions are intended to identify these forward-looking statements, although not all forward-looking statements contain these identifying words. These forward-looking statements are subject to a number of risks, uncertainties and other factors, many of which are outside Cadence’s control. For example, the market for Cadence’s products may develop more slowly than expected or than it has in the past; Cadence’s operating results may fluctuate more than expected, there may be significant fluctuations in Cadence’s results of operations and cash flows related to Cadence’s revenue recognition or otherwise; a network or data security incident that allows unauthorized access to Cadence’s network or data or Cadence’s customers’ data could damage Cadence’s reputation; risks associated with tax liabilities or changes in U.S. federal tax laws or interpretations to which the transaction with Future Facilities or parties thereto are subject; Cadence may fail to successfully integrate Future Facilities; Cadence may fail to realize the anticipated benefits of any combined operations with Future Facilities; Cadence may experience unanticipated costs of integrating Future Facilities; the potential impact of announcement or consummation of the acquisition on relationships with third parties, including employees, customers, partners and competitors; and global economic conditions could deteriorate. Further information on potential factors that could affect Cadence and its business is included in Cadence’s most recent reports on Form 10-K and Form 10-Q and Cadence’s other filings with the Securities and Exchange Commission. The forward-looking statements included in this press release represent Cadence’s views as of the date of this press release and Cadence undertakes no obligation to update any forward-looking statement in this press release.

© 2022 Cadence Design Systems, Inc. All rights reserved worldwide. Cadence, the Cadence logo and the other Cadence marks found at www.cadence.com/go/trademarks are trademarks or registered trademarks of Cadence Design Systems, Inc. All other trademarks are the property of their respective owners.

Category: Featured

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Source: Cadence Design Systems, Inc.

FAQ

What is the significance of Cadence's acquisition of Future Facilities?

The acquisition enhances Cadence's capabilities in multiphysics system analysis and data center optimization, aligning with its Intelligent System Design strategy.

How will the acquisition affect CDNS's market position?

By integrating Future Facilities' technologies, Cadence aims to strengthen its competitive edge in system design and data center efficiency.

What are the financial implications of Cadence's acquisition of Future Facilities?

While the acquisition is expected to provide long-term benefits, there are potential integration costs and challenges that could temporarily impact financial performance.

Who are the main clients of Future Facilities?

Future Facilities serves major clients such as Hewlett Packard Enterprise, Digital Realty, and Equinix, reinforcing Cadence's access to a strong customer base.