Sage buys Polish software company
FTSE100 business and accounting software provider Sage saw its share price hit a two-and-a-half-year high after completing another acquisition.
Link: Sage acquires again
The £10.3m purchase of Warsaw-based Symfonia saw Sage’s share price hit 211p, up 2.75p on Tuesday evening – its highest value since the end of 2002 when it announced booming profits.
The all-cash acquisition of the Polish accounting software provider is another move in the company’s bid to maintain its global strategy of consolidation.
Paul Walker, Sage chief executive, said that the acquisition ð- Sage’s first foray into Poland ð- would allow the company to enter a ‘new and attractive market’.
‘Symfonia has a strong market presence in Poland, and we believe our highly experienced management team in mainland Europe will be able to add significant value to the business,’ said Walker.
Symfonia is an accounting software vendor for SMEs, with over 35,000 local customers. Its revenue for the year ended 31 March 2004 was £4.4m, and its operating profit was £0.8m.
The acquisition is dependent on regulatory and other clearances, Sage said in a statement to the London Stock Exchange.
Sage’s most recent purchase was of Swiss accounting and payroll provider Simultan for £10.7m. Walker said at the time that it would give the Newcastle-based company a ‘stronger foothold’ in the country’s SME marketplace.