The UK-based software company Sage has agreed to acquire US customer relationship management software group Interact Commerce for $263m (€297m), in a move that suggests that all is not yet lost for technology mergers and acquisitions activity.

However, Sage will pay a 51% premium over Interact's share price at close of trading on March 27, the day before the tender offer was officially made. This represents an offer of $12 a share. In the past year Interact's share price has been volatile, with a 52-week high of $34.5 on March 27, 2000, and a low of just over $5 on December 28.