NEW DELHI:
The Sage Group plc has agreed to acquire 50.2 per cent of the share
capital of UBS Corporation Berhad, vendor of business management software for
SMEs in Malaysia.
Sage purchased the shares for a price of 0.98 Ringgit per share. The purchase
consideration for these shares is approximately £7 million, to be paid in cash.
As required by Malaysian regulations, Sage will make an offer to the remaining
UBS shareholders to acquire all outstanding shares, for the same price of 0.98
Ringgit per share. Details of this offer are set out in a Notice of Mandatory
Offer announced by UBS.
With over 100,000 customers, UBS is the leading vendor of business management
software for small and medium-sized businesses in Malaysia. UBS revenues for the
year ended 31 December 2005 were approximately £1.9 million. Earnings before
depreciation and amortization were approximately £0.9 million.
Sage buys more
In addition, Sage had acquired a Chinese Sage distributor comprising SWA Ltd and
Huatuo Software Ltd, for a small, undisclosed consideration. This business,
based in Shanghai, resells and implements Sage's Chinese software products,
ACCPAC and Adonix.
Paul Walker, Sage chief executive, said, “The acquisition of a controlling
interest in UBS and of distribution capability in China, together represent
important early steps in our development of Sage businesses in the Asian region.
These businesses bring important local expertise and deep knowledge of the
requirements of Asian SMEs. We see significant potential to build on these
acquisitions whilst increasing our knowledge of the Asian business software
markets.”
© CyberMedia News
Sage buys UBS' majority shares for £7 million
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