NewswireToday - /newswire/ -
Los Angeles, CA, United States, 2013/12/16 - Reynolds Advisory Partners, LLC (“RAP” or “Reynolds”) acted as the exclusive financial advisor to Reaction Design, a leading developer of chemistry simulation software, on its sale to ANSYS, Inc. (NASDAQ: ANSS) - ReynoldsAP.com.
The parties announced the signing of a definitive merger agreement on December 4, 2013. Financial terms were not disclosed. The transaction is scheduled to close in January 2014.
“Reynolds Advisory Partners delivered an outstanding result for Reaction Design and its shareholders,” said Doug Reynolds, Founder and Managing Director of RAP.
Brian MacLeod, Managing Director at RAP, was Reynolds’ lead advisor in executing the transaction. Mr. MacLeod stated: “We were able to create a competitive dynamic among several strategic buyers, leading to the selection of ANSYS as the optimal merger partner, in terms of the financial and other criteria that were important to Reaction Design’s Board of Directors.”
Mr. MacLeod added: “Our firm’s broad industry expertise includes substantial knowledge of the software sector. We have a keen understanding of the entire product lifecycle management (PLM), computer-aided engineering (CAE) and simulation sectors, including the computational fluid dynamics (CFD) space in which Reaction Design is a leader. We have relationships with many of the key industry participants. We were able to successfully approach the key decision-makers and articulate the strategic benefits from an acquisition, leading to a very successful result for RD’s shareholders.”
Regarding the state of the industry, Mr. MacLeod said: “The market for simulation software continues to grow, as the accuracy and speed of solutions both continue to improve, and simulation costs remain a fraction of the cost of physical testing and prototypes. In the combustion sector that is Reaction Design’s focus, the drive towards green energy and ‘cleantech’ solutions presents an exceptional market opportunity. Engine makers are increasingly focused on developing engines with greater fuel-efficiency and reduced emissions. Alternative and blended fuels are also the subject of intensive research. These industry trends create a need for the fastest and most accurate simulation and modeling tools.”
About Reaction Design
Headquartered in San Diego, Reaction Design serves more than 400 customers around the world. Its flagship product, CHEMKIN-PRO, is the gold standard for modeling and simulating gas-phase and surface chemistry. Reaction Design is privately owned, including by its employees and a scientific institution.
About ANSYS, Inc.
ANSYS is a global leader in engineering simulation software. ANSYS is publicly traded, with an equity market capitalization of over $7 billion.
About Reynolds Advisory Partners, LLC
Founded in 2008, Reynolds Advisory Partners, LLC is a boutique investment bank with a focus on the “middle market”, led by veteran investment bankers Doug Reynolds and Brian MacLeod. RAP provides a full suite of financial advisory services for mid-size and growing companies, including mergers and acquisitions and the issuance of debt and equity capital.
Reynolds Advisory Partners, LLC - Investment Banking Contacts:
Douglas E. Reynolds, Managing Director: dreynolds[.]reynoldsap.com.