$9 billion payday for Australian software company Altium
Australian software company Altium has received a $9 billion takeover offer from Japanese firm Renesas.
An Iranian refugee who came to Australia unable to speak English will score a whopping payday after the company he runs received a $9 billion takeover offer.
Aram Mirkazemi is the chief executive of software company Altium.
The firm has dominated the market for the design of printed circuit boards.
The product, which enables components to be connected, might be an afterthought for many, but it’s turned out to be extremely lucrative.
Altium announced on Thursday it had entered into a binding scheme with Japanese firm Renesas Electronics Corporation.
Renesas will take over the entire company, with Altium shareholders to receive $68.50 per share in cash.
The takeover offer gives Altium an implied equity value of $9.1 billion.
Mr Mirkazemi, who is credited with transforming the company, is expected to receive a $652 million payday from the deal as he owns 9.5 million shares.
The Australian Financial Review reported he arrived in Hobart 32 years ago as an 18-year-old refugee, unable to speak a word of English.
He explained that in the chaotic aftermath of the Iranian Revolution in the late 1970s, he was unable to receive a good education, which motivated him to try even harder.
He struggled at university, but met a key contact through the social networks he developed while playing soccer — Altium founder Nick Martin.
Mr Mirkazemi was at the company when it went public in 1999, but then took a break to found Morfik after falling out with Mr Martin.
He returned to Altium in 2010, pushing for it to become a software-as-a-service platform.
The firm now rakes in about $400 million in revenue each year, according to the 2023 earnings report.
The deal will also rake in a huge windfall for chairman Sam Weiss and president Sergey Kostinsky, who will get about $130.5 million and $164.6 million respectively from their holdings, according to The Australian.
The deal needs to be approved by Altium shareholders, however both companies put out positive statements.
Mr Weiss wrote: “The proposal put forward by Renesas is compelling for Altium investors. It is a strong endorsement of the company’s strategy and performance over many years.”
Renesas CEO Hidetoshi Shibata wrote: “[The] addition of Altium will enable us to deliver an integrated and open development platform, making it easier for businesses of all sizes and industries to build and scale their systems.
“... I strongly believe that electronics is the single most critical industry to building a smart and sustainable world. Renesas’s visionary leadership and commitment to making electronics
accessible to all resonates strongly with Altium.”
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