MYOB's May IPO to be one of the year's biggest

Business software provider MYOB has filed a prospectus with the Australian corporate regulator ahead of a planned return to the Australian Stock Exchange in May.

MYOB CEO Tim Reed

It's the first time the company has shed light on its long-reported plans to again list locally. MYOB's plans to file a prospectus before the end of March were first revealed mid-last month.

The $3 billion listing of MYOB - which is owned by Bain Capital - is expected to be one of the country's biggest IPOs this year.

MYOB said it plans to raise as much as $833.8 million as a result of the move.

The company traded publicly before it was taken private under a $500 million deal in 2009.

In a blog post yesterday, MYOB CEO Tim Reed gave a hint as to what was ahead for the software provider.

The board of a listed MYOB will be made up of six directors, Reed said - three from the existing board (including himself), and three new directors: Justin Milne (also a member of the NBN Co board), Anne Ward and Andrew Stephens.

Reed also confirmed Bain Capital would not sell any of its shares through the IPO.

MYOB plans to sell around 277 million out of a possible 633 million shares, for between $3 and $4 each.

The sale would give the company a market capitalisation of up to $2.3 billion - more than double the $1.2 billion Bain paid when it took over in 2011.

"We will be issuing new shares and using those funds to pay down some of our debt," Reed explained.

"I’ve never felt that we’ve been short on funds to invest in our business, but if anything going forward we’ll have more financial flexibility, not less."

More details on the IPO process will be communicated over the next month in the lead up to the public listing, Reed said.

"... as a private company we’ve been able to pursue critical business initiatives which have made us a more competitive company. Now is a unique and opportune time for us to re-enter the public markets," he said.

"I want to deeply thank our clients, our partners, and of course our more than 1100 employees who have stood with us and helped us build Australia and New Zealand’s leading accounting software solutions provider. 

"It’s your shared passion that has brought MYOB’s vision of making business life easier to life. As we enter the next stage of our company’s evolution, your passion and support will be more important than ever."