2nd Mar 2020 07:53
(Alliance News) - Sage Group PLC said Monday that it has agreed to sell its Brazilian business to local management for up to GBP10 million.
The Newcastle upon Tyne-based accounting software firm had said at its annual results in November that it would place its Brazilian business for sale.
The sale of the business is for an initial GBP1 million, alongside a deferred consideration of up to GBP9 million.
The company noted that the sale is part of its strategy to focus on subscription software services and products, that are "in or have a pathway to the Sage Business Cloud".
For the year ended September 30, Sage's Brazilian business reported an operating profit of GBP2 million, on revenue of GBP53 million.
The deal is expected to be completed within the next two months, on which Sage expects to report a non-cash loss on disposal of GBP15 million.
By Dayo Laniyan; [email protected]
Copyright 2020 Alliance News Limited. All Rights Reserved.
Related Shares:
Sage Group