Hudson Global announces strategic divestitures to focus on RPO
Hudson Global, Inc. has entered into definitive purchase agreements to sell its recruitment and talent management operations in Europe and Asia Pacific to strategic buyers in three transactions. Hudson intends to focus on its growing, global recruitment process outsourcing (“RPO”) business going forward. Under the terms of the agreements, Hudson will receive estimated proceeds of $41.2m in cash, subject to adjustment.
Hudson’s recruitment and talent management operations in Benelux will be sold to Value Plus NV, in a management buyout led by Ivan De Witte, chief executive officer, Hudson Benelux, for $24.7m in estimated net proceeds, subject to customary transaction adjustments.
Hudson’s recruitment and talent management operations in the rest of Europe will be sold to Morgan Philips Group SA (“Morgan Philips”), for $10.5m in estimated net proceeds, subject to customary working capital and transaction adjustments.
Hudson’s recruitment and talent management operations in Asia Pacific will be sold to Apache Group Holdings Pty Limited (“Apache Group”), in a management buyout led by Mark Steyn, chief executive officer, Hudson Asia Pacific, for $6.0m in estimated net proceeds, subject to customary transaction adjustments. The buyer will assume the company’s short-term debt in Asia Pacific, which was $6.3m as of 30th September 2017.
“We are excited to focus on the RPO business going forward and pleased to have reached these agreements for the sale of our recruitment and talent management businesses,” said Stephen Nolan, chief executive officer at Hudson. “This decision is a result of a lengthy and thorough review of our strategic alternatives and our desire to focus on the growing RPO business. We believe these transactions are in the best interest of all stakeholders and believe these transactions will allow each of our business lines to thrive with more resources, investment and dedicated management than in our existing structure. I believe our teams will continue to have success under the leadership of Ivan De Witte in Belgium, Morgan Philips in Europe and Mark Steyn in Asia Pacific.”
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