MYOB agrees to takeover offer

in brief Australian financial software house MYOB this afternoon revealed it had agreed on terms under which it approved its acquisition by Archer Capital-backed Manhattan Software.

MYOB's board had previously been against an acquisition by the Australian private equity firm, but it said in a statement today that it had agreed upon an improved bid structure. The new structure will see a better offering to shareholders, including, MYOB chairman Simon McKeon said, the opportunity for shareholders to gain a higher price for their shares without risking being forced into accepting the previous lower offer price.

Manhattan's offer will not proceed unless 50.1 per cent of shareholders accept the new offer before 18 December. The board's approval is also conditional on MYOB not receiving a higher offer from another company.

The full financial details of the new bid can be found in MYOB's statement (PDF).