It appears another sizeable Orange County tech company is in play for a takeover.
Newport Beach-based MSC Software Corp. is reportedly in talks with CVC Capital Partners Ltd. in Luxembourg to be acquired for more than $800 million, according to Reuters.
MSC, which specializes in simulation software, was Orange County’s 13th largest software maker last year, with an estimated 150 local workers. It posts annual sales of more than $200 million and employs more than 1,200 in 22 countries.
MSC, one of the oldest companies in the industry, came into prominence in 1965 with breakthrough simulation software that helped the Apollo 11 spacecraft land on the moon four years later.
Chief Executive Dominic Gallello took the helm in late 2009 after MSC was taken private in a $390 million cash deal by Palo Alto-based private equity firm Symphony Technology Group LLC.
He was charged with initiating a multiyear turnaround plan to regain lost customers, rebuild its image, and shed unneeded real estate and assets acquired more than a decade ago.
MSC customers include Boeing, BMW, Airbus and Samsung.
Investment Move
Western Digital Capital, the investment arm of Irvine-based storage products maker Western Digital Corp., has backed a Silicon Valley cloud service provider in another strategic play.
The $32 million funding round for Campbell-based Panzura was led by Matrix Partners in Palo Alto. Other backers included Meritech Capital Partners, Opus Capital and Chevron.
Panzura, the market leader in enterprise hybrid cloud storage, has such customers as the Department of Justice, Milwaukee Tool, Fluor and Chevron.
WD in late July co-led a $77 million funding round for Redwood City file-sharing app maker startup Upthere with noted Silicon Valley venture capital firm Kleiner, Perkins, Caufield and Byers.
Exec Heads Yahoo Board
Former Broadcom Corp. Chief Financial Officer Eric Brandt, who lost his job after the Irvine chipmaker’s $37 billion sale last year to Avago Technologies Inc., has been named chairman of Yahoo’s board as the internet search engine awaits a sale.
Brandt, who cashed out $26.7 million worth of stock after the Broadcom sale, will replace Maynard Webb, who takes the role of chairman emeritus.
Brandt took over the finance role at Broadcom in March 2007 as the company tried to distance itself from an options backdating scandal that resulted in restating several years of financial results. The $2.2 billion in charges for misdated stock options is the highest restatement bill a public company has ever recorded related to stock options.
Brandt was chief executive of Aliso Viejo-based Avanir Pharmaceuticals prior to joining Broadcom. He served as finance chief at Irvine-based Allergan Inc. before joining Avanir.
He along with Broadcom’s prior management team except for founder and Chief Technology Officer Henry Samueli were among the first cuts at the combined company, which was renamed Broadcom Ltd. More than 750 Broadcom workers in Irvine have lost their jobs in about the past year during the integration, roughly a third of the operation.
Yahoo is being acquired for $4.8 billion by Verizon Communications and plans to change its name to Altaba after the transaction closes.
