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By | Brid-Aine Parnell 7th November 2013 14:06

AutoCAD daddy buys UK design software firm Delcam for £172.5m

Autodesk pays a 20% markup for CAM firm

Autodesk is all set to slurp British firm Delcam for £172.5m in a bid to snatch more software to offer to the manufacturing sector.

The US computer-aided design (CAD) software firm offered Delcam £20.75 per share, a premium of 21 per cent compared to the price at which the company closed on the London Stock Exchange yesterday.

Delcam specialises in advanced CAD and computer-aided manufacturing (CAM) as well as industrial measurement software and provides automated CADCAM to industries like aerospace and sports equipment manufacturing.

Autodesk president and chief Carl Bass said that snapping up the company would help his firm with "the development and implementation of technology for digital manufacturing".

Delcam CEO Clive Martell said that the deal would give staff "new opportunities" as part of the Autodesk group.

"The offer is at a level which recognises the potential of Delcam and provides an attractive opportunity for shareholders to realise value for their current holdings in cash," he added.

Autodesk said it expected the acquisition to dilute earnings in fiscal 2015 but hopes it will add to its income in the following year. ®

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