| Tue 23 Sep 2003, 13:48 | | Softline shareholders vote to accept Sage offer |
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Softline shareholders vote to accept Sage offer
Press Release
(Incorporated in the Republic of South Africa)
(Registration number 1977/002304/06)
Share code: SFT ISIN: ZAE000012316
("Softline" or "the company")
23 September 2003 - At a shareholders meeting in Johannesburg today the majority
of Softline shareholders voted to accept the offer of R2.00 per share tabled by
the Sage Group plc, a FTSE 100 accounting and business management software
company. The R 2.00 cash offer places a value of R785 million on Softline.
The transaction will be concluded upon fulfillment of the suspensive conditions
including receipt of regulatory approval from the Reserve Bank and the
Competition Commission. Subsequent to approval, funds will be transferred to
shareholders and the following day Softline will de-list from the JSE Securities
Exchange.
Paul Walker, the Sage chief executive officer said "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".
Softline is a leading provider of accounting, payroll and taxation software and
related services to small and medium sized businesses in South Africa and
Australia. Sage is a leading supplier in the same markets in Europe and North
America where it provides business management software and related products and
services to more than 3 million small-and medium-sized businesses.
"Softline affords Sage the opportunity to extend our geographical presence into
the Southern hemisphere by gaining an immediate, established position in our
core areas of focus," added Paul Walker.
Walker said Sage would work closely with Softline"s existing management team
which included co-founders Ivan Epstein, chief executive officer, Steven Cohen,
chief operating officer and Alan Osrin, the managing director of Softline
subsidiary HandiSoft Australia.
He continued: "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. By doing so, the company will continue to go
from strength to strength."
Ivan Epstein, Softline"s CEO, commented "Sage has recognised that Softline is a
globally competitive company. It can provide Sage with a strong market
position, leading product brands, and access to a sizeable customer and reseller
base in the Southern hemisphere, which mirrors Sage"s position in the northern
hemisphere."
"Operating in a competitive global market demands an increased investment in
research and development, as well as sales and marketing. By leveraging best
practices in both organizations, these areas will be considerably strengthened."
"Softline was founded in 1988 and has established a leading position locally and
in Australia. It"s a great endorsement that Softline has ultimately caught the
attention of the world"s largest provider of business management software to the
SME community," he concluded.
Ends
About Sage Group plc
Formed in 1981, Sage was floated on the London Stock Exchange in 1989 and the
Group now employs over 5,500 people worldwide. For the 12 months ended 30
September 2002 Sage posted turnover of GBP 551,7 million (R 6,5 billion) and pre
tax profit of GBP 135,2 million (R1,6 billion). Sage has market capitalisation
of GBP2.2 billion - approximately R26.2 billion
About Softline
Softline is a developer of accounting, payroll and tax software applications for
small and mid-sized businesses. Softline has a well-established market position
in South Africa (SA), Australia, the USA and Canada. More than 340,000
businesses, encompassing approximately 5.5 million individual users, utilise its
applications. Research and development is core to Softline"s business ensuring
that Softline is able to further its position in an increasingly competitive
global software environment. For more information about Softline and its
operations visit http://www.softline.co.za.
Further Information
Softline
Lara Jawitz
Director Group Investor Relations
Softline Holdings
Tel: +27 11 292 8200
082 820 5522
Sage
Beachhead Media & Investor Relations (Pty) ltd
Switchboard (021) 469 9000
Bruce Hetherington
082 458 2199
Ravin Maharaj
083 447 5158
Sponsor to Softline
Brait Sponsors (Proprietary) Limited
Registration Number. 2000/031069/07
Date: 23/09/2003 01:45:35 PM Produced by the JSE SENS Department
