The shares will be priced at between $3 and $4 each, which would give MYOB a market capitalisation of between $2.3 and $2.6 billion.
MYOB lodged its prospectus today with the Australian Securities and Investments Commission (ASIC).
Rumours that MYOB would go public have circulated in the market for a long time, although CEO Tim Reed, announcing just a month ago a lift in revenues to $287 million for 2014 to the end of December, was dismissive, saying any changes in ownership would be flagged if that was the case, but noting that the company had strong cash reserves that could be used for investment.
MYOB says the IPO is being conducted to raise capital to reduce some existing liabilities - including senior debt and mandatory redeemable preference shares – as well as to allow management shareholders to partially monetise their investment; and to provide MYOB with access to the capital markets to improve capital management flexibility.
It’s also intended to provide a liquid market for shares and an opportunity for others to invest in MYOB.
Established in 1991, MYOB is Australia and New Zealand’s leading accounting software provider, and in a statement today Justin Milne, MYOB chairman, said the company is well positioned to carry out its growth strategy and continue to build on its leading position in small business and payroll software through the rapid growth of cloud solutions.
"The return of MYOB to the ASX after six years of private ownership represents a great opportunity for both shareholders and our clients.
“MYOB is a market leader within each segment it operates, and the company continues to innovate in its key markets of Australia and New Zealand.”
Tim Reed said the IPO was a significant event for the company.
“The company has taken enormous strides in recent years under the ownership of Bain Capital. We have made significant investment into R&D in the business to innovate and further drive our leadership through our range of cloud accounting solutions.
“We continued to capitalise on this strong base with rapid adoption from both new and existing clients, with 67% of new clients choosing cloud products and more than 116,000 paying subscribers using our cloud solutions as at 31 December 2014.”