October 13, 2009 – EDA vendor Mentor Graphics has acquired Israeli firm Valor Computerized Systems in a cash-and-stock deal valued at about $82M, or ~$4.60/share of Valor. The deal is expected to close in calendar 1Q10, subject to regulatory and shareholder approval, though the companies noted that 50% of Valor shareholders have committed to vote in favor of the transaction.
Valor makes software to "simulate, optimize, monitor and control the PCB production lifecycle," from testing and validating printed circuit board (PCB) designs to fabrication and assembly. Its Enterprise 3000 software, listed among Mentor’s partner catalog, offers value to Mentor users by "coupling high-level ODB++ data with easy-to-implement automation" for fabrication and assembly analysis and yield optimization.
Valor sales were up about 3% sequentially in the June quarter, with profits up 40% to $1.1M (operating profits slightly down). The company also has a joint venture with Orbotech, Frontline PCB Solutions, to make and sell pre-production CAM and engineering software (much of Valor’s management has an Orbotech pedigree).