Micro Focus International
|Traded as||LSE: MCRO|
|Headquarters||Newbury, Berkshire, UK|
|Kevin Loosemore (Executive Chairman)|
|Products||Enterprise application integration and management software|
|Revenue||$433.1 million (2014)|
|$155.7 million (2014)|
|Profit||$122.1 million (2014)|
Micro Focus International plc is a multinational software and information technology business based in Newbury, Berkshire, England. The firm provides software and consultancy services for clients updating legacy systems to more modern platforms. The Company is listed on the London Stock Exchange and is a constituent of the FTSE 250 Index.
The company was founded in 1976 and in its early years, concentrated on COBOL products. In 1981, it became the first company to win the Queen's Award for Industry purely for developing a software product. The product was CIS COBOL, a standard-compliant COBOL implementation for microcomputers.
It was renamed Micro Focus Group in 1983. In 1998 the Company acquired Intersolv Inc, an applications enablement business, for $534 million and the combined business was renamed Merant. In 2001 the business was demerged from Merant with help from Golden Gate Capital Partners and once again became Micro Focus. It was listed on the London Stock Exchange in 2005.
In December 2013, Micro Focus acquired the Orbix, Orbacus and Artix software product lines from Progress Software. These market-leading implementations of the CORBA standard were originally developed by IONA Technologies.
On 15 September 2014, Micro Focus announced that it would acquire The Attachmate Group for US$1.2 billion in shares, which will give it ownership of the Attachmate, NetIQ, Novell, and SUSE product lines. Attachmate's parent company Wizard Parent LLC—consisting of the investment groups Elliott Management Corporation, Francisco Partners, Golden Gate Capital, and Thoma Bravo, will hold a 40% stake in Micro Focus post-acquisition.
Illegal distribution incident
In August 2010 the company discovered that the New South Wales Police Force had illegally distributed 16,000 copies of the ViewNow platform, 9,500 more than the licence allowed. Micro Focus alleged in 2011 that the NSW Police Force, Ombudsman, Police Integrity Commission, Corrective Services and other government agencies illegally used its ViewNow software, which is used to access the intelligence database known as COPS.
The company alleged police and other agencies were using 16,500 copies of its software on various computers when police were only ever entitled to 6,500 licences. The group initially alleged $10 million in damages but later increased this to $12 million after reviewing the results of a court-ordered, $120,000 KPMG audit of the NSW Police Force's computer systems.
The police force maintained during the court proceedings that it had paid for a site licence that entitled it to unlimited installations of the software for all of its officers. Despite this, it settled the matter out of court in 2012 for an undisclosed sum. The other agencies previously settled the matter out of court, also for undisclosed sums.
The product areas consist of Visual COBOL, mainframe products and services, and Borland.
The Company's financial results are summarised below:
|Year to April||Revenue (US $ million)||EBIT (US $m)||Net profit (US $m)||Earnings per share (¢)|
- "Press Release 15 Apr 2011". Micro Focus. Retrieved 19 April 2011.
- "Preliminary Results 2014" (PDF). Micro Focus. Retrieved 31 March 2015.
- Micro Focus: History
- "Software industry receives royal treatment". New Scientist 90 (1251): 289. 30 April 1981. ISSN 0262-4079.
- Micro Focus buys Intersolv for $534 million
- "City & Corporate: FD wins Micro Focus equity listing bid - PR Week". brandrepublic.com. Retrieved 31 March 2015.
- Dominic Elliott. "Micro Focus IPO scrapes home after price cut". efinancialnews.com. Retrieved 31 March 2015.
- "Micro Focus completes acquisition of NetManage, Inc". Reuters. 18 June 2008. Retrieved 2009-10-11.
- Micro Focus buys Borland Software for $75 million Infoworld, 6 May 2009
- Micro Focus International plc - Acquisition of Orbix, Artix and Orbacus software product lines for $15m Micro Focus International plc, 24 December 2012
- "Micro Focus to Buy Attachmate in $1.2 Billion Share Deal". Bloomberg. 15 September 2014. Retrieved 15 September 2014.
- "Micro Focus to Buy Attachmate in $1.2 Billion Deal". The Wall Street Journal. 15 September 2014. Retrieved 15 September 2014.
- NSW hit with $1.8m legal bill after piracy case SMH accessed April 27, 2013.
- Micro Focus International: Products
- "Annual Report 2009" (PDF). Micro Focus. Retrieved 2010-03-21.