UPDATE 1-Synopsys to buy Synplicity for $227 million
(Recasts, adds details, share movement)
March 20 (Reuters) - Synopsys Inc (SNPS.O), a maker of software for designing semiconductors, said it agreed to buy Synplicity Inc SYNP.O for about $227 million to boost its technology portfolio and enter new markets.
The offer price of $8 per Synplicity share represents a premium of about 50 percent to the stock's Thursday closing price of $5.32.
Synopsys said it sees the deal, which is expected to close in the second calendar quarter, adding to earnings in fiscal 2009 and being slightly dilutive in fiscal 2008.
Synplicity is a supplier of field programmable gate array and integrated circuit design and verification solutions catering to communications, military, aerospace, semiconductor and other electronic applications markets.
Synplicity's Chief Executive Officer Gary Meyers will join Synopsys as a general manager.
Shares of Synplicity were trading at $7.70 in trading after the bell. (Reporting by Swagata Gupta in Bangalore; Editing by Deepak Kannan) ((swagata.gupta@reuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 4135 5800; Reuters Messaging: swagata.gupta.reuters.com@reuters.net))
