Trading improves at Micro Focus

The technology company Micro Focus said it was more confident it could turn around its business after a better-than-expected first quarter, strengthening its hand in ongoing takeover talks.

The company, which supports mainframe computer applications for companies like Tesco, said in May it was exploring a number of approaches, including from US-based private equity firms Bain Capital and Advent International.

Trading in the three months to end-July was similar to last year, MicroFocus said yesterday, while earnings were above expectations.