Synopsys Announces Sale of Software Integrity Group Business

Synopsys, Inc. has agreed to sell its Software Integrity Group business to Clearlake Capital Group, L.P. and Francisco Partners for up to $2.1 billion. The deal includes up to $475 million in cash payable upon Francisco Partners and Clearlake achieving a specified rate of return in connection with one or more liquidity transactions.

After the transaction, the business will operate as an independent application security testing software provider. The existing management team of Software Integrity Group will lead the standalone company. The name of the new entity will be revealed later.

The sale enables Synopsys to focus on its core business, emphasizing the convergence of silicon and systems engineering in the era of pervasive intelligence. The deal is anticipated to close in the second half of 2024, subject to customary closing conditions and regulatory approvals.