Taking another step forward in Japan to help revolutionize the way small businesses and individuals manage their finances, Intuit Inc. (NASDAQ:INTU) today announced it has signed a letter of intent to acquire Nihon Micon KK.
Nihon Micon develops and markets small business accounting software in Japan, as does Milkyway KK, which Intuit acquired in January 1996.
Milkyway and Nihon Micon together will become the business software unit of a new company, Intuit KK. The combined companies' skills in software development, marketing, sales and service will allow Intuit KK to offer comprehensive, easy-to-use small business accounting products to a broad range of customers, and in the process will help to grow the market for this category in Japan.
The price of the planned acquisition is approximately $39 million. The deal is expected to close in late February.
"Intuit has demonstrated its ability to provide personal and small business finance products worldwide," said William V. Campbell, president of Intuit. "This most recent acquisition illustrates the company's commitment to the Japanese market in particular, where personal computer use is growing at a tremendous rate," he said.
Intuit acquired Milkyway KK in January, 1996, as one of several steps to increase its presence in international markets. Founded in 1980, Milkyway has an established reputation in Japan as a leader in delivering quality software through the value-added reseller and retail channels. Nihon Micon has developed a strong product line, including a series of recently released upgrades, that is becoming increasingly popular in the retail channel. The combined product lines of Milkyway and Nihon Micon will give Intuit KK the leading retail market share in Japan for Windows-based accounting.
Intuit Inc. is a financial software and Web-based services company enabling individuals, small businesses and financial professionals to better manage their financial lives and businesses. Intuit's systems and solutions provide many of the leading U.S. financial service providers with communication, sales and marketing opportunities that deliver new customers, better serve existing customers and lower costs. The company currently ships localized products in Argentina, Australia, Austria, Canada, Chile, Colombia, France, Germany, Hong Kong, Japan, Mexico, New Zealand, South Africa, Spain, United Kingdom and Venezuela.
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