Company:Magma Design Automation
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 Headquarters at Santa Clara, California | |
| Type | Public |
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| Industry | Software & Programming |
| Fate | Acquired by Synopsys |
| Founded | April 1, 1997 in Mountain View, California |
| Founder |
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| Defunct | February 22, 2012 |
| Headquarters | San Jose, California |
Key people |
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| Revenue | $139.3 million United States dollar (FY 2011) |
Number of employees | 696 (1 May 2011) |
| Website | www.magma-da.com |
Magma Design Automation was a software company in the electronic design automation (EDA) industry. The company was founded in 1997 and maintained headquarters in San Jose, California , with facilities throughout North America, Europe and Asia. Magma software products were used in major elements of integrated circuit design, including: synthesis, placement, routing, power management, circuit simulation, verification and analog/mixed-signal design.
Magma was acquired by Synopsys in a merger finalized February 22, 2012 at a cash value of about $523 million, or $7.35 per share.[1]
History
Magma was founded in 1997 by a team including Rajeev Madhavan, who was chairman, CEO and president from the company's inception.[2] The company initially competed primarily with Cadence and Avanti Corporation in physical design but eventually broadened its product portfolio and competed with all three of the largest established EDA companies: Cadence, Mentor Graphics and Synopsys.[3] Magma had a particularly strong presence in the convergence device segment through key customers such as Qualcomm, Broadcom and Texas Instruments.[4] In 2001 Roy Jewell joined Magma as chief operating officer and later that year added the title of president.[5]
Magma completed an initial public offering on Nasdaq, under the ticker symbol LAVA, on November 20, 2001[6] — the last EDA company to go public[7] — and achieved its peak annual revenue of $214.4 million in its 2008 fiscal year.[8] Magma was the fourth largest EDA company by revenue.[9]
In 2002 Magma was named to the Red Herring 100 for innovation and business strategy.[10] In 2005 Forbes ranked Magma No. 2 on its list of fastest-growing technology companies.[11]
Patent Dispute
Magma was involved in a legal dispute with Synopsys beginning in September 2004, when Synopsys sued Magma for allegedly infringing two patents.[12] Claims and counter-claims accelerated, resulting in separate court cases in California and Delaware, and a number of disputed patents. On March 29, 2007, Magma and Synopsys announced the companies had agreed to settle all pending litigation between them. As part of the settlement Magma made a $12.5 million payment to Synopsys and each company cross-licensed four previously disputed patents to the other.[13]
Synopsys Acquisition
On November 30, 2011, Magma and Synopsys announced they had entered into a definitive agreement by which Synopsys would buy Magma for $507 million US$.[14] The merger was finalized on February 22, 2012, with cash value of the transaction at about $523 million, or $7.35 per Magma share.[15]
References
- ↑ "Synopsys Completes Acquisition of Magma Design Automation,” February 22, 2012 [1]
- ↑ Securities and Exchange Commission Form S-1, Amendment No. 7, November 19, 2001, (page 49) [2]
- ↑ EDA Confidential, July 14, 2005
- ↑ “EDA Industry Update,” March 24, 2009
- ↑ Securities and Exchange Commission Form S-1, Amendment No. 7, November 19, 2001, (page 49) [3]
- ↑ “Magma IPO up 46%”, CNN Money, November 20, 2001
- ↑ "The First EDA IPO in a Decade," Seeking Alpha, May 16, 2011
- ↑ “Magma Reports Revenue of $214.4 million for Fiscal 2008, 20.4 Percent above Prior Year,” May 1, 2008 at SEC archive [4]
- ↑ Based on Annual Reports on Form 10-K filed with U.S. Securities and Exchange Commission
- ↑ “Magma Named to the Red Herring 100; Recognized by Red Herring Editors for Innovation and Business Strategy,” May 13, 2002 [5]
- ↑ “Technology’s Growth Champs,” Forbes, February 14, 2005
- ↑ ”Synopsys sues Magma for patent infringement,” EE Times, September 17, 2004 [6]
- ↑ ”Patent resolution removes cloud over Magma,” EE Times, March 30, 2007
- ↑ Dylan McGrath (30 Nov 2011). "Synopsys to buy Magma for $507 million". EETimes. http://www.eetimes.com/electronics-news/4231034/Synopsys-to-buy-Magma-for--507-million.
- ↑ "Synopsys Completes Acquisition of Magma Design Automation,” February 22, 2012 [7]
External links
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