Israeli Billing Software Firm Maynd Acquired for $25.4 Million
Translated & summarized from Globes by baba
Israeli billing software company Maynd has agreed to be acquired for $25.4 million by Canadian firm Enghouse Systems, with its stock jumping over 40% on the news. The deal, approved by both companies' boards, offers shareholders a significant premium and is expected to close in early 2027. Maynd's founder and largest shareholder, Monica Yanco, supports the acquisition, citing the benefits of no longer being a public company. Orly Sorokin has been appointed as the new CEO, while Yanco will remain Chairman.
The story in 5 lines · by baba
- Maynd, an Israeli billing software firm, will be acquired by Enghouse Systems for $25.4 million.
- The acquisition price represents a premium of nearly 50% over Maynd's recent Nasdaq closing price.
- Maynd's stock surged over 40% following the announcement of the deal.
- The transaction is expected to be completed in the first quarter of 2027, pending shareholder approval.
- Orly Sorokin has been appointed as Maynd's new CEO, with Monica Yanco remaining as Chairman.
Maynd, an Israeli billing and customer service solutions provider based in Yokneam, announced its acquisition for $25.4 million, sending its stock soaring over 40% on massive trading volume. The deal price of $1.30 per share represents a premium of nearly 50% over its previous closing price on Nasdaq and 42% above its 30-day average. The acquiring company is Enghouse Systems, a Canadian software firm valued at approximately $700 million USD.
Maynd, which has been listed on Nasdaq since 2000 and operates offices in Israel, Romania, Germany, and the US, provides billing and customer service solutions for telecommunications companies. Enghouse Systems, also a provider of customer service and communication software, has had its board unanimously approve the transaction. Maynd's board has also unanimously approved the deal, which will see Maynd become a subsidiary of Enghouse. The acquisition is an all-cash transaction and is expected to close in the first quarter of 2027, pending shareholder approval.
Monica Yanco, Maynd's founder and largest shareholder with 15.5%, has committed to supporting the deal. Under the agreement, Maynd has until December 10th to seek alternative offers, though it would owe a penalty to Enghouse if a superior bid is accepted. Yanco stated that the board believes the acquisition is in the best interest of shareholders, citing the limited benefit of remaining a public company given its size and increasing costs.
In parallel, Maynd announced the appointment of Orly Sorokin as its new CEO. Sorokin, who recently held a senior position at Maynd after a prior role at IBM, will lead the company into its next phase. Yanco will continue as Chairman of the Board, expressing confidence in Sorokin's experience and familiarity with the company and industry.
Maynd reported a 3.5% decrease in revenue to $14.1 million for the first three quarters of the year, shifting from profit to a net loss of $1.2 million. The company generated $1.4 million from operations during this period, with cash reserves standing at $13.7 million.
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