Australia’s MYOB to Raise Up to $636 million in IPO

Australian accounting software maker MYOB Ltd said it plans to raise up to A$833.8 million ($635.69 million) in an initial public offering which is expected to be one of the country’s biggest listings this year.

The Melbourne-based owner of software used by 1.2 million businesses said in a listing prospectus that it planned to sell up to 277.2 million of a total of up to 633.4 million shares for between A$3 and A$4, while its current controlling shareholder, private equity firm Bain Capital, would keep the rest.

The sale would give the company a market capitalization of up to A$2.3 billion, MYOB said, more than double the A$1.2 billion that Bain paid when it bought it from Australian buyout group Archer Capital in 2011. Archer took previously listed MYOB private in 2009.

The purpose of the sale is to pay down debt, let management shareholders cash in their investments, broaden the company’s investor base and boost its profile, the prospectus said.