PTC has entered into a definitive agreement to acquire Arena Solutions, Inc. (Arena Solutions) the provider of product lifecycle management platform “software as a service” ( SaaS ) (PLM).
The acquisition will follow PTC‘s strategy to be the leader in the fast-growing market for SaaS-based product development software, enabling the company to offer a SaaS CAD + PLM solution.complete. Under the terms of the agreement, PTC will acquire Arena Solutions for $ 715 million in cash. Subject to traditional closing conditions and completion of regulatory review, the acquisition is expected to be completed in PTC‘s fiscal first quarter 2021.
PTC has signed a definitive agreement to acquire Arena Solutions, the industry’s leading SaaS PLM platform provider.
“One year ago, PTC entered the SaaS world for product development software with our acquisition of Onshape,” said Jim Heppelmann , PTC president and CEO. “That move reflected our firm belief that our market is approaching a tipping point in its willingness to adopt SaaS technology, following the trend seen in many other software markets. The effects of COVID-19 have dramatically accelerated this inevitable. Instead, with PTC customer surveys indicating a 25% increase in readiness for SaaS PLM since the pandemic began, we expect the Arena acquisition to significantly expand our leadership position as we continue to redefine the future of our industry. ”
Headquartered in Foster City, California , Arena Solutions serves more than 1,200 clients in the electronics, high-tech and medical device industries, including world-class innovators like Nutanix, Peloton, Sonos and Square. Additionally, Arena will expand PTC‘s presence in the attractive mid-market, where SaaS solutions are becoming the standard.
“As the pioneer SaaS PLM, we were the first to see that product developers and engineers would benefit from a new paradigm in the way they collaborate and drive product innovation,” said Craig Livingston , president and CEO of Arena Solutions. . “We were ahead of the market in the early days, but in recent years we have seen an acceleration in market responsiveness and demand. This acquisition validates our original vision, and we are pleased to join an established leader in CAD and PLM capable of accelerate our market’s move to SaaS. ”
Arena Solutions’ product realization platform unifies PLM, quality management and requirements management, allowing all participants throughout the product design and manufacturing process, as well as in an extended supply chain, to work together in one environment highly available and secure cloud solutions.
“This acquisition is the next logical step in PTC’s strategy to be the industry leader in SaaS,” Heppelmann continued. “A great first step was the acquisition of Onshape, the SaaS leader in CAD and collaborative design capabilities. Arena will allow us to complete the solution with full PLM capabilities and offer the only complete CAD + PLM SaaS solution in the industry.”
