ZURICH (Reuters) – Siemens has the financial muscle for further software acquisitions after its $10.6 billion purchase of U.S. industrial software company Altair, managing board member Cedrik Neike said.

“This was definitely not the last acquisition we make in the area of software,” Neike told German newspaper Handelsblatt in an interview published on Friday.

“We have the financial strength to be able to do further deals,” he said. “The software business is an important driver for growth and profitability.”

The Altair deal was the second biggest in Siemens’s history, strengthening the engineering group’s position in the growing market for industrial software.

Neike, who leads Siemens Digital Industries factory automation business, also defended the price paid for Altair, which Siemens bought for a multiple of 14 times 2025 estimated sales, and 25 times estimated operating profit.

The price represented an 18.7% premium to Altair’s close on Oct. 21, a day before Reuters first reported the company was exploring a sale.

“It is a diamond, a unique opportunity,” Neike said.

“The market for industrial software, especially in the area of simulation, is strongly consolidated.

“In simulation Altair is very strong in the United States and we are very strong in Asia and Europe. We can increase growth through cross selling.”

Altair was currently increasing its sales at a rate of 12%, a level which Siemens wanted to increase, Neike added.