MYOB acquires ERP vendor Greentree

MYOB has acquired Hei Matau Holdings 2000 Limited, the ultimate shareholder of ERP and CRM provider Greentree, for $27 million.

A total of $23.8 million has been paid with the remaining expected for 2017 and 2018 dependant on conditions.

Auckland-based Greentree has been in the market for 25 years and provides ERP to 850 business across Australia, New Zealand and the UK via channel partners.

"This is exciting for our team and a great opportunity to work closely with MYOB to develop and deliver the leading online and on-premise ERP solutions that our clients need to successfully stay ahead in a rapidly changing world," Greentree chief executive Peter Dickinson said.

With the acquisition of Greentree, MYOB expects to extend its mid-market presence into larger enterprises. MYOB expects to grow through Greentree's existing channel.

MYOB chief executive Tim Reed said: "2015 saw the expansion of our business with the addition of MYOB Advanced to our market leading EXO Business product line. MYOB will be the first to market with and integrated online ERP and Payroll solution for bigger business. The acquisition of Greentree further reinforces our commitment to bigger businesses in Australia and New Zealand and expands our ERP product suite to establish MYOB as a dominant leader in the mid-market."

MYOB is an Australian accounting software vendor that registered $328 million revenue during its first 12 months ending on 31 December, which represented a 10 percent growth.

The company boasts 1.2 million clients across Australia and New Zealand. Its Enterprise Solutions division delivers ERP and HRM to over 7,000 customers and alone raked in $41 million of revenue in the 2015 financial year.