Fri, 09 Dec 2016 | DIVISION SALE
UK software firm Sage is considering selling its struggling North American payments business as the group looks to boost its growth.
The company, the largest of its kind in Britain, confirmed in a statement this week it was “evaluating potential strategic options, including a sale” of the payments business, adding: “There can be no certainty that this evaluation will lead to any transaction.”
Headquartered in Newcastle, Sage was founded in 1981 and provides accounting and payroll software for clients in 23 countries, employing 13,000 people.
The firm entered the FTSE 100 in 1999 and enjoyed strong growth as desktop computers became more widespread.
But its traditional offer - installing software in clients’ offices - has come under pressure recently from competition from start-up firms and rivals offering web and cloud-based products, the Financial Times reported.
Its payments business is also thought to be struggling as giants including Apple, Google and PayPal now dominate the market.
Last month, Sage posted improved revenue growth for the 12 months to the end of September, but warned that its payments business was underperforming.
The company reported overall revenue growth of 6.1 per cent but growth in its North America arm stayed flat, the company adding that it was “underperforming relative to Sage's overall performance”.
Find service businesses for sale.
The company has been a pioneering provider of retail EPOS software for over 25 years, with its proprietary software spanning both the retail and hospitality sectors, and a recent acquisition of cutting-edge hospitality solutions, this opportunity inc...
This well-established business offers a unique acquisition opportunity with its bespoke, high-quality wine-related accessories and strong market position in the UK and international B2B sectors. Its longstanding relationships with high-profile custom...
FREEHOLD
This business provides a unique opportunity to acquire a well-established company specialising in bespoke MFC cabinet products, benefiting from strong regional reputation and long-standing customer relationships across multiple sectors. With a skille...
Please choose your settings for this site below. For more information please read our Cookie Policy
These cookies are necessary for our website to function properly and provide you with access to all features.
These are analytics cookies that help us to improve the way our website works.
These are used to improve the functional performance of the website and make it easier for you to use.