Taiwan Mobile's plan to buy software company Systex has been approved, which is good news for Systex shareholders.

• The tender offer by a Taiwan Mobile subsidiary has been given the nod by Systex's review committee and board of directors.
• Systex shareholders will receive cash plus Taiwan Mobile shares for each share held, working out to NT$7 more than the current share price.
• Compared with the share price before the announcement, the premium is even higher — based on the average price over recent months, it works out to 30% to 40% more.
• Systex's chairman, two directors and five major shareholders have all signed undertakings agreeing to sell their shares.
• The offer targets a minimum of just under 40% of shares and a maximum of just under 60%, with the tender period running until October 6.

Outlook: The offer period ends in early October, at which point it will become clear how many shareholders are willing to sell and whether Taiwan Mobile can secure its target stake.