Reckon shares are going nuts

Photo: Joel Kowsky via Getty Images

Shares in Reckon surged after the accountancy software company announced a deal to sell off a division to competitor MYOB.

A short time ago, the shares were up 33% to $1.61. MYOB shares were up 0.5% to $3.65.

MYOB is paying $180 million to Reckon for the Accountant Group in Australia and New Zealand which provides software solutions to accounting practices.

The book value of the Reckon asset was $38 million. The division’s 120 employees will be offered jobs at MYOB.