National Instruments acquires two companies. First, National Instruments will acquire AWR Corporation (AWR). AWR is a supplier of electronic design automation (EDA) software for designing RF and high-frequency components and systems for the semiconductor, aerospace and defense, communications and test equipment industries. Upon the closing of the transaction, AWR will continue to operate as a wholly owned NI subsidiary under the leadership of the existing management team.

Both NI and AWR deliver unique strengths that together will enable customers to more productively design and test their RF systems. The acquisition will strengthen both companies' core software brands, NI LabVIEW, AWR Microwave Office and Visual System Simulator, as well as the NI RF testing hardware platform.

The full suite of AWR design tools in combination with a complete RF testing platform from NI will give customers a platform to decrease the time to market of their RF designs. NI will also augment its current academic and university RF and communications initiatives to include AWR software tools, so educators and students can benefit from the improved teaching and learning experience for the rapid design and prototyping of RF systems.

The aggregate purchase price to be paid at closing is approximately $58 million, which includes $7 million in cash on the AWR balance sheet. In addition, the merger agreement contains an earn-out provision, which is payable over three years.

Second, National Instruments acquires Phase Matrix. The acquisition brings RF talent, technologies and manufacturing capabilities to NI and will increase the capability of NI products in high-frequency RF and microwave applications, extending the frequency range of NI products to 26.5 GHz and beyond. Phase Matrix will continue to operate under the name "Phase Matrix, Inc." as a wholly owned NI subsidiary and will continue to design and manufacture RF and microwave test and measurement instruments, subsystems and components.

Phase Matrix founders, Pete Pragastis and Charanbir Mahal, will remain with the company as the general manager and chief technology officer, respectively. As NI works to drive growth of its PXI RF products, Phase Matrix will contribute critical experienced RF talent, technologies and manufacturing capabilities. NI and Phase Matrix have worked together for a number of years and, for some time, NI has been interested in adding Phase Matrix capabilities to the NI portfolio.

Phase Matrix will also continue to sell directly to customers and OEMs, who should continue to contact Phase Matrix, or its distributors, for sales, support and service needs for all current product offerings. The purchase price was approximately $38 million.