MYOB to buy HR provider PayGlobal

MYOB has reached a conditional agreement to buy PayGlobal, a New Zealand-based human resources management and payroll provider.

MYOB will spend NZ$9.2 million (A$8.4 million) to buy 54 percent of PayGlobal from investment company Infratil, but declined to reveal how much it would pay for the remaining 46 percent from shareholders, according to a statement issued to the NZX.

The acquisition will be funded from existing cash reserves.

The Australian accounting software company has been circling PayGlobal for several years, hoping to take over the company that was founded in 1991 and counts 120 employees on both sides of the Tasman.

MYOB faced resistance from shareholders when it first set out to acquire PayGlobal some years ago.

PayGlobal serves mid-size to large enterprises and claims to have over 500 customers in the region, managing a total of half a million employees.

MYOB expects the purchase of PayGlobal - which is conditional on a number of third-party approvals - to be completed by the end of this month.