Romax Technology Romax Technology Acquired by Hexagon
About Romax Technology
Romax provides advanced CAE solutions and engineering services. The company is headquartered in Nottingham, UK, and has approximately 240 employees globally that serve more than 250 customers in the automotive, aerospace, wind power, marine, bearing and rail industries.
For more information, please visit the Romax website.
About Hexagon AB
Hexagon is a global leader in sensor, software and autonomous technologies. Hexagon uses data to boost efficiency, productivity, and quality across industrial, manufacturing, infrastructure, safety, and mobility applications. Hexagon (Nasdaq Stockholm: HEXA B) has approximately 21,000 employees in 50 countries and net sales of approximately 3.9bn EUR.
For more information, please visit the Hexagon website.
About Madison Park Group
Madison Park Group is a global strategic M&A advisor to the engineering and design software economy and has been instrumental in advising CAD, PLM and engineering software companies through their expansion and acquisition. Industry leaders trust Madison Park Group's experience in the marketplace.
For more information, please visit the MPG website.
Nottingham, United Kingdom – February 27, 2020 - Madison Park Group is pleased to announce that Romax Technology (“Romax”), a leading provider of electro-mechanical simulation and multi-physics design optimization solutions, announced the signing of an agreement to be acquired by Hexagon AB. Michael Magruder, Ralph Verrilli and Sean Stouffer of Madison Park Group’s Engineering & Manufacturing Technology practice advised on the transaction.
Romax Technology provides Computer-Aided Engineering (CAE) and multi-physics design and simulation tools that empower engineering teams to make drive systems more efficient by optimizing the electrical and mechanical design simultaneously. As part of the acquisition, Romax Technology’s CEO Andy Poon and the Romax team will continue driving forward advanced drive-train CAE solutions and engineering services as part of Hexagon’s Manufacturing Intelligence Division.
“This is a multi-faceted transaction that required collaboration across the United States and Europe, and is driven by the need for highly advanced multi-physics electro-mechanical simulation products. We are thrilled to be joining the Hexagon organization and could not be more pleased with the outcome that MPG’s Engineering & Manufacturing Technology practice achieved on all aspects of the deal.”
- Romax Technology CEO, Andy Poon
Founded by Dr. Peter Poon, PhD in 1989, Romax has developed the world’s most complete simulation software and engineering services suite for the advancement, design, analyze and manufacturing of both combustion driven and electric vehicle powertrains. Romax’s cloud-enabled offering, Romax Nexus, will further enhance Hexagon’s Smart Factory offerings.
Ralph Verrilli, Head of Madison Park Group’s Engineering and Manufacturing Technology practice said, “We believe that Romax sits at the intersection of two key trends – specialization of advanced model-based systems engineering and the electrification of products. Overlaying that with a clear plan to enhance the company’s global footprint will catalyze further advancement in the CAE marketplace.”
The transaction comes at a time when the electrification of manufactured products is rapidly changing the design and development process, with great expense – auto makers alone plan to spend over $300 billion on electrification over the next ten years. Furthering the cause, governments around the world are mandating significant carbon emissions reductions and offering financial incentives to promote adoption, which is putting electrification at a critical inflection point. To foster the rapid change required, manufacturers are turning to advanced CAE and “digital twin” software solutions to reduce product development cycle times and enhance outcomes. Industry analysts estimate the global CAE market will reach north of $12 billion in annual sales by 2025.
Madison Park Group actively advises in the engineering and manufacturing technology market and is in constant dialogue with industry incumbents, emerging vendors and other stakeholders. MPG sees robust acquisition & investment activity in the sector and is excited for the market’s next phase of growth.