Shares in Micro Focus International were up on the FTSE 250 in afternoon trading after the software and IT company confirmed that it had received a takeover bid from an unnamed company.

Earlier in the month the group's chief executive resigned after the company was forced to issue two profit warnings.

Last month the group began a share buyback programme, however this has now been suspended while the board considers the approach.

In a statement the Micro Focus International said, "In response to recent press speculation and share price movement, the Board of Micro FocusInternational plc confirms that it has received a very preliminary, non-binding approach in relation to a possible offer for the Company.

"The Board is currently considering its response to the approach. There is no certainty that any formal offer for the Company will be forthcoming nor as to the price at which any offer might be made."

By 13:05 shares in Micro Focus International were up 7.52 per cent on the FTSE 250 to 363.40 pence per share.