Sale of Newbury-based software firm Micro Focus to OpenText completed

Canadian firm OpenText has acquired Newbury-based software and information technology business Micro Focus.

The total purchase price of approximately $5.8 billion is inclusive of Micro Focus' cash and debt, subject to final adjustments.

OpenText anticipates cost synergies of $400 million and expects to balance the combined company through an approximate eight per cent workforce reduction due to the acquisition of Micro Focus.

OpenText CEO and CTO Mark J Barrenechea said: "I would like to welcome Micro Focus customers, partners and employees to OpenText. Digital life is life and with Micro Focus' great products and talent we will help organizations of all sizes accelerate their digital transformation."

He added: "With this acquisition, OpenText's corporate mission expands to help enterprise professionals secure their operations, gain more insight into their information, and better manage an increasingly hybrid and complex digital fabric with a new generation of tools that include Cybersecurity, Digital Operations Management, Applications Modernization & Delivery and AI & Analytics. 

"This new generation of Information Management software will help organisations accelerate their digital transformation and drive growth while reducing costs." 

READ MORE: Micro Focus International to be acquired by Open Text Corporation in £5bn deal