Wayne, Pa. — Feb. 6
Kenexa, a global provider of business services for human resources, announced it has entered into a merger agreement with privately held OutStart, a provider of software as a service (SaaS) e-learning. The deal has yet to close.
When consummated, the deal will expand Kenexa’s reach into the e-learning market and enable it to provide a broader and deeper suite of talent management services. Kenexa will integrate OutStart’s learning management suite, which includes social and mobile learning services, with Kenexa’s global talent management services, including its performance management suite.
“Kenexa made a great decision acquiring OutStart, a full suite, global, SaaS learning management solution provider which has been a market leader in the social and mobile learning space, and one of the pioneers in the LCMS market,” said Stacey Harris, vice president of research with Brandon Hall.
OutStart, which is based in Boston and has offices throughout North America, Europe and Asia, has more than 300 customers ranging from large global organizations to mid-size companies and government entities. The company delivers a portfolio of inter-related mobile, social and learning knowledge services.
The Kenexa 2x platform was designed to integrate all talent management functions and data, including a unified talent record, mobile tools and analytics into one single system that provides a consistent user interface, security features and reporting engine while allowing for a customer’s future global expansion.
Kenexa’s recruiting, on-boarding, performance management and competency libraries are used to identify employees' and candidates’ skill sets as well as their development needs, which can then be met and managed with the learning platform OutStart brings to Kenexa.
Kenexa expects to fund the acquisition with its existing cash balance, and it expects the transaction to be at least neutral to non-GAAP net income available to common shareholders on a per share basis for 2012.