Acquisitions (Tables)

12 Months Ended

Dec. 31, 2020

Business Combinations [Abstract]

Fair Value of Consideration Transferred

Fair Value of Consideration Transferred:

(in thousands)	AGI		Lumerical		Total
Cash	$	489,797	$	107,545	$	597,342
Ansys common stock(1)	218,348		—		218,348
Consideration not yet paid	14,342		—		14,342
Total consideration transferred at fair value	$	722,487	$	107,545	$	830,032

(1)We issued 0.6 million shares of our common stock in an unregistered offering to the prior owners of AGI with a fair value of $217.4 million, and we issued $0.9 million from shares held in treasury.

Fair Value of Consideration Transferred:

(in thousands)	LST		Granta Design		Other Acquisitions		Total
Cash	$	472,800	$	208,736	$	138,548	$	820,084
Ansys common stock	308,704		—		—		308,704
Total consideration transferred at fair value	$	781,504	$	208,736	$	138,548	$	1,128,788

Fair Value of Consideration Transferred:

(in thousands)	OPTIS
Cash	$	290,983

Schedule of Recognized Identified Assets Acquired and Liabilities Assumed

Recognized Amounts of Identifiable Assets Acquired and Liabilities Assumed:

(in thousands)	AGI		Lumerical		Total
Cash	$	17,663	$	11,844	$	29,507
Accounts receivable and other tangible assets	29,456		4,244		33,700
Developed software and core technologies	184,100		31,614		215,714
Customer lists	25,400		1,616		27,016
Trade names	18,200		1,756		19,956
Accounts payable and other liabilities	(23,279)		(1,106)		(24,385)
Deferred revenue	(5,467)		(1,405)		(6,872)
Net deferred tax liabilities	(50,207)		(7,452)		(57,659)
Total identifiable net assets	$	195,866	$	41,111	$	236,977
Goodwill	$	526,621	$	66,434	$	593,055

Recognized Amounts of Identifiable Assets Acquired and Liabilities Assumed:

(in thousands)	LST		Granta Design		Other Acquisitions		Total
Cash	$	8,520	$	13,644	$	6,231	$	28,395
Accounts receivable and other tangible assets	20,569		6,941		10,734		38,244
Developed software and core technologies (10-year weighted-average life)	167,700		32,445		25,018		225,163
Customer lists (15-year weighted-average life)	25,900		20,016		15,743		61,659
Trade names (10-year weighted-average life)	10,600		4,579		2,051		17,230
Accounts payable and other liabilities	(3,887)		(5,164)		(5,946)		(14,997)
Deferred revenue	(3,565)		(1,426)		(1,889)		(6,880)
Uncertain tax positions	—		—		(257)		(257)
Net deferred tax liabilities	(47,412)		(8,976)		(8,151)		(64,539)
Total identifiable net assets	$	178,425	$	62,059	$	43,534	$	284,018
Goodwill	$	603,079	$	146,677	$	95,014	$	844,770

Recognized Amounts of Identifiable Assets Acquired and Liabilities Assumed:

(in thousands)	OPTIS
Cash	$	7,957
Accounts receivable and other tangible assets	15,910
Developed software and core technologies (10-year weighted-average life)	47,597
Customer lists (12-year weighted-average life)	41,303
Trade names (9-year weighted-average life)	10,749
Accounts payable and other liabilities	(11,941)
Deferred revenue	(2,470)
Net deferred tax liabilities	(23,438)
Total identifiable net assets	$	85,667
Goodwill	$	205,316

Schedule of Finite-Lived Intangible Assets Acquired as Part of Business Combination

The weighted-average useful life, valuation method and assumptions used to determine the fair value of the intangible assets acquired with the AGI acquisition are as follows:

Intangible Asset	Weighted-Average Useful Life	Valuation Method	Assumptions
Developed software and core technologies	10 years	Relief-from-royalty	Royalty rate: 40.0% Discount rate: 11.0%
Trade names	9 years	Relief-from-royalty	Royalty rate: 1.0% - 2.0% Discount rate: 11.0%
Customer lists	15 years	Multi-period excess earnings	Attrition rate: 10.0% Discount rate: 12.0%

The weighted-average useful life, valuation method and assumptions used to determine the fair value of the intangible assets acquired with the Lumerical acquisition are as follows:

Intangible Asset	Weighted-Average Useful Life	Valuation Method	Assumptions
Developed software and core technologies	10 years	Multi-period excess earnings	Discount rate: 16.5%
Trade names	6 years	Relief-from-royalty	Royalty rate: 2.0% Discount rate: 16.5%
Customer lists	10 years	Multi-period excess earnings	Attrition rate: 10.0% Discount rate: 12.5%

The valuation method and assumptions used to determine the fair value of the significant intangible assets acquired in 2019 are as follows:

Intangible Asset	Valuation Method	LST Assumptions	Granta Design Assumptions
Developed software and core technologies	Relief-from-royalty	Royalty rate: 50.0% Discount rate: 10.0%	Royalty rate: 8.0% - 10.0% Discount rate: 12.5%
Trade names	Relief-from-royalty	Royalty rate: 2.0% Discount rate: 10.0%	Royalty rate: 2.0% Discount rate: 14.0%
Customer lists	Multi-period excess earnings	Attrition rate: 10.0% Discount rate: 11.0%	Attrition rate: 10.0% Discount rate: 12.5%

Business Acquisition, Pro Forma Information

The table presented below reflects the aggregate impact on our results of operations of the 2019 acquisitions from the date of acquisition to December 31, 2019. The operating income does not include integration costs borne directly by us and our non-acquired subsidiaries as a result of the acquisitions.

(in thousands)	Year Ended December 31, 2019
Revenue	$	44,079
Operating income	$	6,733

The table presented below reflects the impact of OPTIS from the date of acquisition to December 31, 2018. The operating loss does not include integration costs borne directly by us and our non-OPTIS subsidiaries as a result of the acquisition.

(in thousands)	Year Ended December 31, 2018
Revenue	$	18,532
Operating loss	$	(5,462)