Small-business app maker Best Software Inc. is buying Computer Associates' ACCPAC subsidiary, another player in the small-business accounting and CRM market, for $110 million.
Best Software is best known for its Peachtree small-business accounting line and its ACT contact and sales manager. CA sells titles such as Simply Accounting through ACCPAC. In the small-business accounting arena, both firms compete against Intuit Inc., whose QuickBooks dominates the market.
The deal, which requires regulatory approval, should be finalized in February. Best Software's parent company, the U.K.-based Sage Group, will pay $110 million in cash for ACCPAC.
According to Best Software, the acquisition will help it extend its reach into foreign markets, including Asia, Australia, Canada, and South Africa, while ACCPAC's online family of hosted accounting and CRM applications will give its 1.8 million customers an alternative to Best's own desktop apps.