MYOB has announced the sale of its US sales and marketing operations to an entity controlled by existing managers of the US business. The management buyout (MBO) is expected to be complete on December 3, 2005.
In a statement released by the company, MYOB management viewed the US operations as having "diverged strategically" from the rest of the group and that its prospects would be "maximized in a separate vehicle". This followed a "detailed review" of MYOB's options for the US business.
MYOB chief executive officer, Craig Winkler, said the new structure delivers the best result for MYOB's customers, employees and shareholders.
"And, importantly, our US customers will continue to receive the same world-class products and service that they have always received," Winkler said.
"We are pleased with the outcome and look forward to working closely with our new US distributor over the years to come."
The sale has been structured to maintain a relationship between MYOB and the MBO team with the business becoming the exclusive distributor for MYOB products in the US.
The US operation's revenue contribution to MYOB would have been around $5.6 million for the year ending December 31, 2005. Following the release of new product upgrades this month, revenue for December was forecast to be around $0.9 million, according to the company.