MYOB changes tack on takeover

Agreement reached for restructuring of initially rejected takeover offer from Manhattan Software

ASX-listed business software firm, MYOB (ASX: MYO), has done an about face and agreed with Manhattan Software on a basis for the restructuring of the suitor’s takeover offer for all outstanding shares.

According to MYOB, who rejected Manhattan’s initial advances, the restructured offer sees the headline price improved, the majority of conditions removed and greater flexibility provided to MYOB shareholders.

Under the restructured offer MYOB will pay a special fully franked dividend of $0.0815 cents per share, representing value equivalent to $0.1164 cents per share grossed up for franking credits, with the record date being the earlier of 30 days after the offer becomes unconditional or January 27, 2009, with payment as soon as practicable thereafter.

Subject to Manhattan’s minimum acceptance condition of 50.1 per cent being satisfied, shareholders who accept Manhattan’s offer will receive value of $1.0564 per share.

If Manhattan receives acceptances of at least 50.1 per cent, it will establish an institutional acceptance facility (IAF 90 per cent) under which all shareholders can lodge acceptance instructions. If acceptances received by Manhattan total 90 per cent or more of shares on issue, MYOB shareholders will receive $1.1564 per share.

In the absence of a higher offer, MYOB’s directors unanimously recommended shareholders lodge acceptance instructions into the 90 per cent IAF, once established.

MYOB chairman, Simon McKeon, said the board is pleased to have agreed on an improvement to the bid structure, which now allows shareholders to gain a higher price for their shares without risking being forced into accepting a lower price.

“We encourage shareholders to think carefully about the options presented to them. Whilst the board is not recommending accepting the lower bid, the board notes that the offer will not proceed unless 50.1 per cent acceptances are received prior to 18 December, either directly or into the existing acceptance facility,” Mckeon said in a statement.

“The board is unanimous in its recommendation that shareholders lodge acceptance instructions into the 90 per cent IAF, once established. Furthermore, all board shareholders have indicated they intend to accept into the 90 per cent acceptance facility, in the absence of a higher offer.”

MYOB CEO Tim Reed was unavailable for comment at the time of publication.

Join the newsletter!

Error: Please check your email address.
Rocket to Success - Your 10 Tips for Smarter ERP System Selection

Tags Manhattan Software BidcoMYOB

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.
Show Comments

Cool Tech

SanDisk MicroSDXC™ for Nintendo® Switch™

Learn more >

Breitling Superocean Heritage Chronographe 44

Learn more >

Toys for Boys

Family Friendly

Panasonic 4K UHD Blu-Ray Player and Full HD Recorder with Netflix - UBT1GL-K

Learn more >

Stocking Stuffer

Razer DeathAdder Expert Ergonomic Gaming Mouse

Learn more >

Christmas Gift Guide

Click for more ›

Most Popular Reviews

Latest Articles


PCW Evaluation Team

Edwina Hargreaves

WD My Cloud Home

I would recommend this device for families and small businesses who want one safe place to store all their important digital content and a way to easily share it with friends, family, business partners, or customers.

Walid Mikhael

Brother QL-820NWB Professional Label Printer

It’s easy to set up, it’s compact and quiet when printing and to top if off, the print quality is excellent. This is hands down the best printer I’ve used for printing labels.

Ben Ramsden

Sharp PN-40TC1 Huddle Board

Brainstorming, innovation, problem solving, and negotiation have all become much more productive and valuable if people can easily collaborate in real time with minimal friction.

Sarah Ieroianni

Brother QL-820NWB Professional Label Printer

The print quality also does not disappoint, it’s clear, bold, doesn’t smudge and the text is perfectly sized.

Ratchada Dunn

Sharp PN-40TC1 Huddle Board

The Huddle Board’s built in program; Sharp Touch Viewing software allows us to easily manipulate and edit our documents (jpegs and PDFs) all at the same time on the dashboard.

George Khoury

Sharp PN-40TC1 Huddle Board

The biggest perks for me would be that it comes with easy to use and comprehensive programs that make the collaboration process a whole lot more intuitive and organic

Featured Content

Product Launch Showcase

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?