The Caldwell Partners International Inc. (TSE:CWL), a Toronto-based provider of executive search and recruitment, is spinning off its IQRecruit software business. IQRecruit is a talent search and candidate management platform that uses artificial intelligence to provide pools of candidates to client companies. IQRecruit is produced by Caldwell’s IQTalent business.

Caldwell reported the spinoff will enable the IQTalent business to focus on managed services within search and talent strategy.

“This spinoff represents a significant step forward for both IQRecruit and IQTalent,” said David Windley, president of IQTalent. “It will give IQRecruit far more flexibility to secure the kind of financing and investments that will lead to the continued development of their software solution and future growth, and it will also provide the IQTalent team with more focus to better serve the needs of our customers by delivering world-class on-demand talent solutions.”

The spinoff’s name is IQRecruit Inc., and it is 41.9% owned by IQTalent. In addition, Windley invested $250,000 in US dollars for an 8.7% stake.

“IQRecruit has been an immensely successful platform for us, and IQTalent will remain a dedicated client,” Caldwell CEO John Wallace said. “The 2020 acquisition of IQTalent represented a transformational event for Caldwell and the beginning of our evolution into a technology-focused recruitment model for the benefit of our clients. The spinoff of IQRecruit is the next step in this journey, and we’re confident that IQRecruit will be well positioned to drive innovation, growth and client satisfaction, which will create long-term value for Caldwell’s shareholders.”