Affiliate of Golden Gate Capital and Infor to acquire SoftBrands

Enterprise application software provider SoftBrands Inc (NYSE Amex:SBN) announced on Friday that it has entered into a definitive agreement to be acquired by an affiliate of Golden Gate Capital and software company Infor.

The company said the value of the acquisition is USD0.92 in cash per common share, with a total transaction value of approximately USD80m, including amounts paid in respect of SoftBrands debt and preferred equity.

SoftBrands' current lender, Wells Fargo Foothill, part of Wells Fargo & Company (NYSE:WFC), has agreed to provide financing for the transaction, which is expected to be completed in 60 to 90 days, subject to customary closing conditions. The offer price represents approximately 100% premium over the company's closing price on the NYSE Amex on 11 June 2009.

SoftBrands also said that its common stockholders will retain the future rights to 10% of the AremisSoft Liquidating Trust's net cash proceeds, if any, received and distributed by the trust.

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