UK payroll and accounting software firm Sage has acquired US-based ERP and financial management software company Intacct for $850 million in cash. The deal will close in the coming weeks.

Intacct was founded in 1999 and is based in San Jose, California. It had raised more than $130 million in equity and debt financing and had annual revenues of $88 million for the year ending in June 2017. The bulk, 90%, of its revenue is from subscriptions. Intacct CEO Robert Reid will continue to run the business under the name Sage Intacct.

The acquisition will bolster Sage’s operations in the US market, the company said in a statement. The deal is expected to add approximately £20 million in revenue to Sage this financial year, it added.

“The acquisition of Intacct supports our ambitions for accelerating growth by winning new customers at scale and builds on our other cloud-first acquisitions, strengthening the Sage Business Cloud,” said Stephen Kelly, CEO of Sage. “Intacct opens up huge opportunities in the North American market, representing over half of our total addressable market.”

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