UK-based business and accounting software company Sage Group, whose bid to buy JSE-listed Softline was accepted this week, is to continue to work with Softline's existing management.
On Tuesday Softline shareholders voted to accept Sage's offer of R2 a share, which values Softline at R785 million. The deal is still subject to receiving regulatory approval, after which Softline is to be delisted.
Management had bid R1.30 a share for Softline before they were outbid by Sage. Despite the management bid, Sage CEO Paul Walker says Sage will continue to work with Softline's existing management team.
There had been some speculation that the Softline management team would not be retained by Sage, but Walker has scotched those rumours.
"It is important that Sage retains the local knowledge and expertise that was responsible for establishing Softline as a leading software company in the southern hemisphere," Walker says.
He says Softline allows Sage to expand its presence into the southern hemisphere by gaining an immediate and established position.
"There is a natural fit between the two companies and this acquisition is in line with Sage's strategy of acquiring locally developed and locally supported market-leading software brands in attractive new markets."
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