The total consideration is to be paid in cash and rolled over Sage options. Intacct, which is headquartered in California and has been operational since 1999, posted revenues in the twelve months to June 2017 of $88m, over 90% of which is subscription based, and has current annualised recurring revenues of $96m.

In a statement, Sage said that in addition to organic revenue, the company expects its US recent acquisitions including Intacct (to be known as Sage Intacct after completion), Sage People (Fairsail) and Compass to add approximately £20m of revenue in this financial year.

Stephen Kelly, CEO of Sage, said: ‘The acquisition of Intacct supports our ambitions for accelerating growth by winning new customers at scale and builds on our other cloud-first acquisitions, strengthening the Sage Business Cloud. Intacct opens up huge opportunities in the North American market, representing over half of our total addressable market.’

Robert Reid, CEO of Intacct, who will remain with the company post-acquisition, said: ‘Intacct is growing rapidly in our market and by combining our strengths with those of Sage, we can jointly accelerate success for our customers.’

Report by Pat Sweet