Electronic design automation company, Summit Design Inc announced Tuesday that its proposed $72m acquisition of OrCAD Inc is off. The Beaverton, Oregon-based company would only say that the termination of the merger, announced last September, was called off by mutual agreement. Summit also said that preliminary results for its fourth quarter show revenue of $10.9m – a disappointment that Summit says is mainly due to a lack of sales people in the United States. Earnings from operations still came in higher than expected, the company insists, as the revenue shortfall was offset by reduced sales and marketing expenditures. The bottom line will be hit, however, by the recognition of costs stemming from the abandoned OrCAD deal – the size of which have yet to be disclosed. Summit also announced management changes that will see Richard Davenport move from VP and COO of Summit’s Verification Products Division, to COO of the overall company. Meanwhile, Joseph Masarich, Summit’s senior VP of worldwide marketing and sales, has resigned.
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