Get PTC for SaaS Field Service Management Provider ServiceMax | So Good News
PTC announced that it has entered into a definitive agreement to acquire ServiceMax for approximately $1.46 billion in cash on a debt-free and cash-free basis from the majority ownership entities of Silver Lake.
ServiceMax is cloud-native; Specializing in product-centric field service management (FSM) software.
The acquisition is expected to strengthen PTC’s closed product lifecycle management (PLM) offerings by extending the digital chain of product information into downstream enterprise asset management (EAM) and FSM capabilities.
Subject to regulatory approval and satisfaction of other applicable closing conditions; The transaction is expected to close in early January 2023.
Since 2015, PTC and ServiceMax have been partners in medical device, industrial products; complex for spacecraft and related vertices; We support manufacturers of specially prepared products.
“The PLM capabilities PTC has long offered to engineering and manufacturing departments provide a system of record for the digital definition of any product configuration,” said PTC President and CEO. Jim Heppelmann said. “ServiceMax will complement this by providing a logging system for monitoring and servicing product events after they leave the factory and move into customer use.
“Following this acquisition, PTC will be able to leverage our comprehensive digital product definition offering from our computer-aided design (CAD) and PLM solutions, complemented by our Internet of Things (IoT) solutions and full service history from ServiceMax.”
ServiceMax provides a suite of cloud-native FSM capabilities built on the Salesforce platform. These capacities include managing all relevant information about the products served; product description; serial number Service history and more – including creating and managing work orders and scheduling and dispatching technicians.
ServiceMax’s FSM capabilities are also closely integrated with Salesforce’s customer relationship management (CRM) system, so a deep understanding of the product is combined with an equally deep understanding of the customer.
ServiceMax’s FSM capabilities will complement PTC’s entire digital cotton portfolio: leveraging product definition data from PTC’s Creo and Windchill; solutions; Technical publishing capabilities from PTC’s Arbortext PTC’s Servigistics software; Software from IoT and digital twin capabilities from PTC’s ThingWorx; Service components management skills Solutions and augmented reality (AR) capabilities from PTC’s Vuforia Software.
for example, By remotely monitoring connected products with ThingWorx, customers can detect service needs and automatically generate service orders in ServiceMax.
Service technicians can leverage 3D AR work instructions created in Vuforia or 2D work instructions from Arbortext derived from the product’s digital product definition information created in Creo and managed in Windchill.
Technicians can also use Servigistics to gain a more detailed understanding of service operations to optimize spare parts inventory.
Transaction details and financial impact
The purchase price will be $808 million paid at closing and $650 million will be paid in October 2023. Payment will be made in two installments. money transfer PTC’s existing loan and $500 million in new committed term loans will be repaid.
ServiceMax is expected to contribute approximately $160 million in PTC’s ARR for Q2’23.
The transaction will increase PTC’s fiscal 230 cash flow from operations; Free cash flow and adjusted free cash flow targets are expected to be proactive.