Sage, Newcastle software giant, sells £400m bond

Sage Group, the Newcastle-based international software giant for SMEs, announced that it has launched and successfully priced a bond offering of £400 million 2.875% notes due in February 2034.

The notes issue extends the maturity of the group’s debt portfolio,” said the Newcastle firm.

“Sage intends to use the proceeds to repay certain existing indebtedness and for general corporate purposes.

“Sage has been rated BBB+ (stable) by S&P …

“The joint bookrunners were BofA Securities, HSBC, J.P. Morgan and NatWest Markets.”

On January 26, Sage Group said its total group revenue increased by 5% to £458 million in the three months ended December 31, 2021, as it reiterated its guidance for the full year.

However, shares of the firm fell amid disappointment among some analysts that the revenue growth was a bit short of the full-year consensus forecast of 6.6% and recurring revenue growth was at the low end of the full year guidance range.

Sage provides accounting, financial, HR and payroll technology for small and mid-sized businesses.


About the Author

Mark McSherry
Dalriada Media LLC sites are edited by veteran news journalist Mark McSherry, a former staff editor and reporter with Reuters, Bloomberg and major newspapers including the South China Morning Post, London's Sunday Times and The Scotsman. McSherry's journalism has also appeared in The Washington Post, The Guardian, The Independent, The New York Times, London's Evening Standard and Forbes. McSherry is also a professor of journalism and communication arts in universities and colleges in New York City. Scottish-born McSherry has an MBA from the University of Edinburgh and a Certificate in Global Affairs from New York University.