MYOB Acquires SmartyHost

Accounting software maker MYOB has acquired SmartyHost, one of Australia’s better known web hosting companies. The acquisition is the second MYOB has made in the space, having acquired Ilisys earlier in 2008.

SmartyHost is a well regarded Australian hosting company, and has a strong presence in the SME market, the core market for MYOB.

MYOB CEO Tim Reed said in a statement that MYOB aims to “web enable Australian small businesses. We want to make the first step – establishing a website – more appealing to more business owners. We also plan to help business owners leverage the internet to ‘rewire’ their customer and supplier interactions and other core business processes.”

The SME sector in Australia is still under-represented online with over 50% of companies not having a web presence. It’s a logical step for MYOB to move into this sector, although the company still lacks an online accounting presence at a time SaaS and online accounting packages are starting to take off. Perhaps they’ll be able to leverage some of the talent they’ve acquired to start moving in that direction.

Financials of the acquisition were not disclosed.