ReadyTech Rejects Unsolicited Proposal as Board Determines Bid to be Undervalued
Get your Free Report on Top 5 ASX stocks for 2025
ReadyTech Holdings Limited (ASX: RDY) has rejected an unsolicited, non-binding indicative proposal from Total Specific Solutions to acquire 100% of the company, determining the offer does not reflect its value in a change of control scenario and would not be executable.
The proposal included two paths: a scheme of arrangement at $2.00 per share in cash and in parallel, an off market bid at $1.75 per share with a 50.1% minimum acceptance condition. ReadyTech mentioned that shareholders do not need to take any action and Jefferies Australia is advising the company on the proposal.
The bid lands against a backdrop of improving operational momentum. In its 1H FY26 results, ReadyTech reported total revenue of $61.6 million (up 5.6%) with subscription revenue of $51.8 million and recurring revenue accounting for 84% of total revenue. The company also highlighted major contract wins including a 10 year Skills Tasmania deal and a Workplace Injury Commission mandate in Victoria.
RDY has remained focused on enterprise software across education, workforce, government and justice while investing in AI led product development and its flagship platforms. Management also revised FY26 revenue guidance to $125 million-$127 million and withdrew FY27 targets which underscores both the opportunity and the execution challenges ahead.
(Source: Company Announcement)
Disclaimer
Veye Pty Ltd(ABN 58 623 120 865), holds (AFSL No. 523157 ). All information provided by Veye Pty Ltd through its website, reports, and newsletters is general financial product advice only and should not be considered a personal recommendation to buy or sell any asset or security. Before acting on the advice, you should consider whether itβs appropriate to you, in light of your objectives, financial situation, or needs. You should look at the Product Disclosure Statement or other offer document associated with the security or product before making a decision on acquiring the security or product. You can refer to our Terms & Conditions and Financial Services Guide for more information. Any recommendation contained herein may not be suitable for all investors as it does not take into account your personal financial needs or investment objectives. Although Veye takes the utmost care to ensure accuracy of the content and that the information is gathered and processed from reliable resources, we strongly recommend that you seek professional advice from your financial advisor or stockbroker before making any investment decision based on any of our recommendations. All the information we share represents our views on the date of publishing as stocks are subject to real time changes and therefore may change without notice. Please remember that investments can go up and down and past performance is not necessarily indicative of future returns. We request our readers not to interpret our reports as direct recommendations. To the extent permitted by law, Veye Pty Ltd excludes all liability for any loss or damage arising from the use of this website and any information published (including any indirect or consequential loss, any data loss, or data corruption) (as mentioned on the website www.veye.com.au), and confirms that the employees and/or associates of Veye Pty Ltd do not hold positions in any of the financial products covered on the website on the date of publishing this report. Veye Pty Ltd hereby limits its liability, to the extent permitted by law to the resupply of services.
Feature News
Checkout Our Recommendation for free - 7 days free trial
Start Free TrialRecent News
Monadelphous Group Secures Major Contract
Pro Medicus Announces $16m Contract Renewal, Signi..
Energy World Corporation to Sell its Gas and Steam..
Acrux Further Updates on $5.4m Australian Lenzetto..
Blackpearl Group doubles ARR, outperforms foundati..