Accurate Background to Acquire CareerBuilder Employment Screening, Broadening Reach and Accelerating Growth
Investment by the Apax Digital Fund to Support Transaction
IRVINE, Calif., Feb. 4, 2020 /PRNewswire/ -- Accurate Background, a leading provider of compliant, automated workforce screening solutions, today announced that it has signed a definitive agreement to acquire CareerBuilder Employment Screening (CBES) from CareerBuilder. The combined entity will operate under the Accurate Background brand and creates a uniquely positioned company focused on technology innovation, customer service, candidate experience, and delivery at scale. Through a strategic partnership agreement, CareerBuilder will continue to offer Accurate's employment screening services to clients.
The acquisition of CBES, which offers highly complementary background screening and drug-testing services and technology to employers in the U.S. and abroad, is expected to strengthen Accurate's pre-and post-employment screening leadership and accelerate the company's mission to deliver the most innovative and comprehensive screening services.
"We are excited to combine our two high-growth, innovation-focused background screening businesses to create an industry leader with significant scale in the U.S. and internationally," said Dave Dickerson, Founder and CEO of Accurate. "Our teams have great mutual respect and share the same dedication to customers and commitment to products and services that dramatically simplify the background screening process. We also look forward to partnering with Apax Digital in this strategic transaction and welcome their insights and expertise as we move forward."
"Accurate and CBES have highly aligned corporate cultures centered on innovation and customer service," said Tim Dowd, President and COO of Accurate. "Importantly, the combined products and services are highly complementary and allow us to extend the value we bring to enterprise, mid-market and small business customers. We expect a seamless integration of our product offerings and teams that will allow us to deliver one of the most comprehensive offerings in the industry to our customers around the world."
Irina Novoselsky, CEO of CareerBuilder, said, "I'm proud of the investments we have made in this best-in-class solution and the significant growth that CBES has experienced. The strategic partnership with Accurate aligns with our approach to both own, and partner when appropriate, to deliver Hello to Hire solutions to our clients. This allows for increased investment in our core business of talent discovery and acquisition. I look forward to what we will be able to accomplish in a large and dynamic market and ultimately the impact we will make on the success of our clients."
Marcelo Gigliani, Managing Partner of Apax Digital, said, "An increasingly competitive labor-market, a more complex regulatory environment, and a growing focus on risk management excellence, are driving employers' strong demand for best-in-class technology solutions for enhanced screening services. We are eager to partner with Accurate in its acquisition of CareerBuilder Employment Screening and look forward to supporting the company in accelerating its customer service advantage, cutting-edge innovation, and international expansion efforts."
The transaction, which is subject to customary regulatory approvals, is expected to close by the first quarter of 2020. Financial terms of the transaction were not disclosed. 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. In conjunction with the investment by the Apax Digital Fund, Marcelo Gigliani and David Evans will join the Board of Directors of Accurate Background.
Barclays and Stifel served as financial advisors to Accurate and the Apax Digital Fund. Latham & Watkins, LLP and Simpson Thacher & Bartlett served as legal advisors to Accurate and the Apax Digital Fund, respectively. 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.
About Accurate Background
Accurate Background is a trusted provider of automated workforce screening. U.S. and international clients across all industries, from emerging businesses to Fortune 500 companies, rely on their compliant solutions. Accurate Background is accredited by the National Association of Professional Background Screeners and has been recognized by Inc. 5000, Deloitte Technology Fast 500, and the Workforce Hotlist. To learn more, visit accurate.com.
About CareerBuilder
CareerBuilder is a global technology company that provides end-to-end talent acquisition solutions to help employers find, hire and onboard great talent, and helps job seekers build new skills and progressive careers as the modern world of work changes. An industry disruptor for nearly 25 years, CareerBuilder is the only company that offers both software and services to cover every step of the Hello To Hire™ process, enabling its customers to free up valuable resources across their HR tech supply chain to drive their business forward. CareerBuilder operates in the United States, Canada, Europe and Asia and is the largest provider of AI-powered hiring solutions serving the majority of the Fortune 500 across five specialized markets. CareerBuilder is majority-owned by funds managed by affiliates of Apollo Global Management, Inc. and Ontario Teachers' Pension Plan Board. For more information, visit careerbuilder.com for a great candidate experience and hiring.careerbuilder.com to learn more about our solutions for employers.
About Apax Digital
The Apax Digital Fund specializes in growth equity and buyout investments in high-growth enterprise software, consumer internet, and technology-enabled services companies worldwide. The Apax Digital team leverages Apax Partners' deep tech investing expertise, global platform, and specialized operating experts, to enable technology companies and their management teams to accelerate the achievement of their full potential. For further information, please visit http://digital.apax.com.
Over its more than 40-year history, Apax Partners has raised and advised funds with aggregate commitments of c.$50 billion. These funds provide long-term equity financing to build and strengthen world-class companies. For more information see: www.apax.com.
SOURCE Accurate Background
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