Company: SNPS
Filing Date: 2025-05-28
Form Type: 10-Q
Source: 0000883241-25-000017
Chunk: 98

Company: SYNOPSYS INC
Filing Date: 2025-05-28
Form: 10-Q
Item: Item 1
Chunk 98
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 installment payments and final working capital adjustment payment received in connection with the Software Integrity Divestiture, partially offset by lower proceeds from the sales and maturities of investments of $61.4 million.

Cash Provided by (Used in) Financing Activities

Net cash provided by financing activities was $10.0 billion for the six months ended April 30, 2025 compared to net cash used in financing activities of $154.6 million for the same period in fiscal 2024. The increase in cash provided by financing activities was primarily driven by net proceeds of $10.0 billion from debt in the second quarter of fiscal 2025, the payment of bridge financing costs of $54.7 million in connection with the Ansys Merger during the six months ended April 30, 2024, and lower taxes paid for net share settlements of $45.7 million, partially offset by the redemption of redeemable non-controlling interest of $30.0 million in the first quarter of fiscal 2025.

46

Bridge Commitment Letter, Term Loan, Revolving Credit Facilities and Senior Notes

On January 15, 2024, we entered into the Bridge Commitment Letter with certain financial institutions that committed to provide, subject to the satisfaction of customary closing conditions, the Bridge Commitment. The Bridge Commitment currently provides for an aggregate principal amount of up to approximately $690 million, after the reduction following the closing of the Software Integrity Divestiture and the issuance of the Senior Notes. The proceeds of any borrowing under the Bridge Commitment will be used for the purpose of financing a portion of the cash consideration to be paid in the Ansys Merger and paying related fees and expenses in connection with the Ansys Merger and the other transactions contemplated by the Merger Agreement.

The commitments to provide the Bridge Commitment may be terminated in whole or reduced in part, at our discretion. In addition, the Bridge Commitment Letter provides that net cash proceeds received from certain debt and equity issuances, including the Senior Notes, or the sale of certain businesses and assets, including the Software Integrity Divestiture, as well as term loan commitments under certain qualifying term loan facilities, will result in mandatory commitment reductions under the Bridge Commitment. 

On February 13, 2024, we entered into the Term Loan Agreement in connection with the financing of the pending Ansys Merger. The Term Loan Agreement provides us with the ability to borrow up to $4.3 billion at the closing of the Ansys Mer