The company told the stock exchange late yesterday it had knocked back a “non-binding, indicative and highly conditional approach” which may have resulted in a $1.90 per share bid.
MYOB chairman Simon McKeon said the board had carefully considered the offer and considered in inadequate and not in the interests of the shareholders.
“As market leader in Australia and New Zealand and with an international presence, MYOB is well positioned to reap the benefits of its significant investment in wholly-owned product development programs, amounting to around $100 million in the past three years,” Mr McKeon said in a statement to the ASX.
“That investment gives MYOB a strong platform that will deliver growth and ongoing value for shareholders into the future,” he said.
Mr McKeon said the company would take no further action on the issue and would instead take the opportunity presented by its full-year results announcement next week to say more about MYOBs performance and outlook.
“As was evident from our investor briefing in December 2007, MYOB is achieving strong growth, has a strong balance sheet, a high rate of recurring revenue and strong underlying cash flow,” Mr McKeon.
“These factors underpin the board's view that the proposal was inadequate.”
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