Software Update: Exton-Based AGI Sold For $700M, Pa. Probes Unisys Uutage, SAP Shares Down
Ansys, a software simulations maker in the Pittsburgh suburb of Canonsburg, will pay $700 million for Analytical Graphics Inc. (AGI), an Exton-based maker of “mission simulations” that warn satellite operators when their products might hit burned-out rockets and other debris orbiting Earth.
Both companies sell to U.S. military, intelligence, space, and commercial buyers. Ansys, with $1.5 billion in annual sales, is a publicly traded company founded by Pittsburgh engineer John A. Swanson. Taken public in a 1996 deal that inspired a generation of Pennsylvania software company founders, it will pay one-third of the price by issuing AGI owners new stock with the rest in cash, which it will borrow.
AGI, with $80 million in annual sales, employs 221. It is headed by chief executive Paul Graziani, who led a group of his former colleagues from General Electric’s satellite and missile center in nearby King of Prussia to start AGI 30 years ago. All will keep their jobs, and the company will remain in Exton as an Ansys unit, confirmed Ansys spokesperson Matt Zack.
“We are thrilled to become part of Ansys,” so AGI systems can be sold to more users, such as AGI’s robotics, automotive, and telecommunications clients, Graziani said in a statement.
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