Shares in K3 Business Technology Group (AIM:KBT) soared by 58% following news of the proposed sale of its NexSys Solutions business for £36 million to SYSPRO, a global ERP software provider backed by private equity group Advent.
The cash deal values NexSys at a significant premium to K3’s market capitalisation, which stood at £28 million before the announcement.
Net proceeds of £34.4 million are expected, with a substantial portion earmarked for return to shareholders in the first half of 2025.
The remainder will fund working capital and restructuring.
In early trading, the stock was up 36.3p at 98.8p.