Sungard mulls over Sherwood bid – report

In play

Sungard, the US disaster recovery specialist, is mulling over a bid for Sherwood International, the UK insurance software firm, the FT reports.

Sungard could make a move as early as next week, with an 140p per share offer, worth £61.5m. Sherwood is effectively in play. Earlier this year, the company said it would was considering an MBO, worth £50.2m. A rights issue was another option, management said.

Sungard is already big in the UK disaster recovery sector through its ownership of Guardian IT, scooped up for £167m cash last year. But financial software is also a major string to its bow, contributing more than half of its $2.6bn turnover in 2002.

Neither company is talking, publicly at any rate, to the FT. ®