SAN JOSE -- Cadence Design Systems today pulled its bid to acquire Mentor Graphics, and in doing so offered up some harsh words for its competitor. The EDA firm's board instead authorized a $500 million increase to the company's stock repurchase program.

In a statement, Cadence said, “Our goal in pursuing a combination Mentor was to create a company that would offer customers a broader and more fully integrated product and technology portfolio. Mentor's board and management were unwilling to engage in substantive discussions on what we believe would have been a compelling opportunity to create significant value for both companies’ shareholders and customers.

“Mentor Graphics’ failure to engage in substantive discussions on our all-cash premium proposal prevented us from confirming for our financing sources the significant synergies associated with this transaction. That, along with our revised outlook and the present economic climate, led us to conclude that financing terms for the transaction are no longer attractive for our shareholders.”

Mentor Graphics failure to engage in substantive discussions on our all-cash premium proposal prevented us from confirming for our financing sources the significant synergies associated with this transaction. That, along with our revised outlook and the present economic climate, led us to conclude that financing terms for the transaction are no longer attractive for our shareholders.The Cadence stock repurchase $500 million authorization is now approximately $912 million.

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