Cadence Acquires Hexagon's Design & Engineering Business

February 26, 2026

Cadence Design Systems completed the acquisition of Hexagon AB's Design & Engineering (D&E) business for approximately €2.7 billion in cash and Cadence common stock. Hexagon received ~3.2 million Cadence shares (about 30% of consideration) with the remainder in cash; the D&E business contributed roughly €265 million of revenue in 2024 and the sale is expected to produce a ~€1.4 billion gain for Hexagon. The deal expands Cadence's capabilities in physical AI, multiphysics and system-level design and analysis.

Buyers
Cadence Design Systems, Inc.
Targets
Hexagon Design & Engineering business
Sellers
Hexagon AB
Industry
Software
Location
Stockholm County, Sweden
Transaction Type
Divestiture

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