Sage Has Enough Firepower for Acquisition Targets, CEO Says
September 22, 2011, 4:48 AM EDTBy Jonathan Browning
Sept. 22 (Bloomberg) -- Sage Group Plc, the U.K.’s biggest software maker, has “enough firepower” for its acquisition targets even after a number of failed bids, Chief Executive Officer Guy Berruyer said today.
Sage, which last month lost out to Bain Capital LLC in its bid for Australia’s MYOB Pty Ltd. in what would have been its largest ever purchase, is targeting “plenty of other deals,” Berruyer said today in an interview.
The earlier “unsuccessful bids were not because of a lack of firepower, but our reasonable approach to pricing,” Berruyer said. “We know it’s not a firepower question.”
Sage, which today sold its U.S. healthcare unit for $320 million, will spend the proceeds by buying back shares rather than retaining cash on the balance sheet.
To contact the editor responsible for this story: Jonathan Browning at jbrowning9@bloomberg.net
