Computer hardware systems and enterprise software products developer Oracle has entered into an agreement to acquire cloud-based talent management provider Taleo for about US$1.9bn, net of Taleo’s cash and debt.
The deal is expected to close mid-year 2012, subject to Taleo stockholder approval, certain regulatory approvals and other customary closing conditions.
Taleo’s Talent Management Cloud is designed to help organisations attract, develop, motivate and retain staff to improve performance and drive growth.
Through the acquisition, the companies expect to create a comprehensive cloud offering for organisations to manage their human resource operations and employees’ careers.
The deal is expected to empower employees and managers to effectively manage careers throughout a staff member’s entire employment, enable organisations to retain talent and optimise costs, and improve the employee experience through faster on boarding and better collaboration with team members via social media.
“Human capital management has become a strategic initiative for organisations,” said Thomas Kurian, executive vice-president, Oracle Development. “Taleo’s industry-leading talent-management cloud is an important addition to the Oracle Public Cloud.”
Michael Gregoire, chairman and CEO, Taleo, said Taleo’s integrated cloud-based talent-management solutions optimise how organisations hire, manage, develop and reward their employees and gives companies the information they need to capitalise on their most critical asset – their people.
“Joining forces with Oracle gives us the opportunity to better serve our customers," Gregoire said.