In the wake of a reported competitive offer, Micro Focus increased its cash offer for Borland Software to about $88 million. In May, Micro Focus moved to buy Borland for about $75 million,
The terms of the revised offer were approved by the boards of directors of both Micro Focus and Borland. The deal still must be approved by shareholders.
According to Micro Focus, the unnamed competitive bidder has withdrawn from its pursuit of Borland. Borland's ALM business as seen as a significant addition to Micro Focus's basic Cobol and application modernization offerings.
In a statement, Stephen Kelly, Chief Executive Officer of Micro Focus, said: "Both companies are fully focused on completing the transaction which we believe is based on strong strategic rationale and is therefore in the best interests of both companies, their shareholders, employees and customers."