Strategic Partnership Allows for Continuation of Hello to Hire and Increased Investment in Core Services
CareerBuilder announced it is increasing its focus on its core Talent Acquisition platform and driving innovation in the HR tech industry. In support of the strategy, Accurate Background (Accurate), a leading background screening provider, has signed a definitive agreement to acquire CareerBuilder Employment Screening (CBES). Through a strategic partnership agreement, CareerBuilder will continue to offer background screening solutions as part of their Hello to Hire model to clients while shifting investment efforts toward innovations in talent discovery and acquisition. The transaction is expected to close at the end of the first quarter of 2020.
CBES has experienced significant sales growth since originally being acquired by CareerBuilder in 2016. The next phase of growth for the employment screening business requires additional scale and focus outside CareerBuilder’s core talent acquisition offering. Accurate is well-suited to lead the evolution given their focus on continuous improvement and commitment to a positive candidate and client experience in this space. CBES clients will benefit from having access to leading technology and the continued ability to utilize it as part of CareerBuilder’s unified, multi-channel Talent Acquisition platform.
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“In this highly competitive job market, we continue to see our clients struggle with talent discovery and acquisition,” commented Irina Novoselsky, CareerBuilder CEO. “We feel Accurate is the right partner to continue growing and advancing CBES. The strategic partnership allows us to increase our focus on driving innovation in our core business of talent discovery and acquisition while also continuing growth within our software & services offerings in the US and abroad. Throughout our 25-year history, our clients have relied on us to meet the demands of today and deliver solutions that will meet their challenges of tomorrow. I’m proud of the investments we have made and am excited for how we will continue to deliver success for job seekers and employers looking to hire.”
“CBES’ success and core values mirror that of Accurate’s. Combining the two companies positions us to reach more markets, accelerate the pace of our growth and bolster our innovation engine which has been a hallmark of Accurate since our inception,” said Dave Dickerson, Accurate Background Founder and CEO. “We are excited about the benefits this acquisition brings to existing and future CBES clients as well as existing Accurate clients and look forward to strengthening our pre- and post-employment screening leadership.”
CareerBuilder will continue to expand its brand as the HR tech provider of choice in the Talent Acquisition industry by helping employers reach and hire candidates quickly. Its innovative multi-channel Talent Acquisition platform launched in 2019 offers unmatched tools in one unified recruiting experience and includes CareerBuilder’s rich marketplace of active job seekers. CareerBuilder will continue to offer Hello-to-Hire through both ownership and strategic partnerships including the development of optimized career sites that automatically re-engage candidates, manage recruitment workflow, conduct background checks and get real-time reports on the performance of recruitment sources, in addition to software & services offerings of Broadbean, Textkernel and WORKTERRA. In 2019, CareerBuilder experienced double-digit growth of its job seeker audience due to increased investments and new product launches solving critical pain points for job seekers. This included a new mobile app, improved geo-based job search functionality, Augmented Reality, and award-winning AI Resume Builder. CareerBuilder’s innovations are fueled by AI and machine-learning technologies providing unparalleled capabilities to match job seekers to opportunities and deliver candidates to employers.
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CareerBuilder is the largest provider of AI-powered hiring solutions serving the majority of the Fortune 500 across five specialized markets. The company is a Bronze Stevie® Award winner in the Artificial Intelligence/Machine Learning Solutions category for the AI Resume Builder, received Brandon Hall’s Best Advance in Talent Acquisition Technology award for the CareerBuilder Talent Discovery product, and was named as one of America’s Best Midsize Employers by Forbes.
The transaction will be supported by an investment from the Apax Digital Fund, the technology-focused growth equity fund advised by global private equity advisory firm Apax Partners.
PJT Partners and Bowstring Advisors, a division of Citizens Capital Markets, are serving as financial advisors and Sidley Austin LLP is serving as legal advisor to CareerBuilder. Barclays and Stifel are serving as financial advisors to Accurate and the Apax Digital Fund. Latham & Watkins, LLP and Simpson Thacher & Bartlett are serving as legal advisors to Accurate and the Apax Digital Fund, respectively.
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