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(Sharecast News) - K3 Business Technology has proposed the sale of its NexSys Solutions unit to Advent-backed software firm SYSPRO for £36.0m.
The proposed cash deal would value NexSys at a considerable 28.8% premium to K3's pre-announcement market capitalisation of 28.0m.
K3 expects to receive net proceeds of £34.4m from the sale, the bulk of which will be returned to shareholders in H125, while the remainder will be used to fund working capital and restructuring costs.
The AIM-listed group added that following completion of the disposal, it expects the remaining group to become month-on-month cash break even, after full allocation of central overhead, during Q125.
As of 1105 GMT, K3 shares had surged 36.96% to 85.60p.
Reporting by Iain Gilbert at Sharecast.com
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