Siemens snaps up software firm

German industrial giant Siemens is set to buy software firm Mentor Graphics for $4.5 billion.

Berlin, Germany - German industrial giant Siemens on Monday said it would buy US software firm Mentor Graphics for $4.5 billion, building out its offer to high-tech manufacturing industries.

Oregon-based Mentor employs more than 5 700 people and produces software used to design electronics products, especially integrated circuits.

The deal would “complement our strong offering in mechanics and software with design, test and simulation of electrical and electronic systems”, Siemens board member Klaus Helmrich said.

In a statement, Siemens said its offer of $37.25 per share in cash - a 21-percent premium on Mentor's Friday closing price - had been accepted by the US firm's board, but still needed to be approved by shareholders.

The German firm said it would provide more details about the purchase at a press conference later on Monday.

AFP