Germany's Siemens on Wednesday said that it has signed an agreement to acquire research and development software provider Dotmatics for $5.1 billion.
According to Siemens, Boston-based Dotmatics is expected to generate more than $300 million in revenue in fiscal year 2025 and is "highly profitable."
The company is being sold by investor Insight Partners.
The acquisition aims to strengthen Siemens' position in the industrial software sector and expand its offerings of artificial intelligence (AI) software to Life Sciences customers.
Siemens plans to finance the acquisition primarily through the sale of shares in listed companies, including Siemens Healthineers.
The announcement did not cause significant excitement among investors, as Siemens' stock rose by 0.25% on the Tradegate platform compared to the Xetra closing price, while shares of Siemens Healthineers and Siemens Energy saw slight declines.
