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Hudson sells Legal eDiscovery business for $23 million

November 10, 2014

Hudson Global Inc. (NASD: HSON) sold its Legal eDiscovery business to DTI for $23 million. The division provides eDiscovery solutions, managed document review and contract attorney staffing.

Legal eDiscovery had revenue for of $13.8 million in the third quarter, according to New York-based Hudson.

“We are very excited to announce the successful sale of our eDiscovery business to a pre-eminent company in the field of legal process outsourcing and eDiscovery services," said Chairman and CEO Manolo Marquez. “We built a leading managed review business over the years and have now found the right home for it.”

Legal eDiscovery had an operating loss of almost $2.0 million in the third quarter.

DTI describes itself as the largest privately held legal process outsourcing company in the US. It is based in Atlanta.

“We remain committed to continuously investing in our legal process outsourcing platform,” said DTI founder and CEO John Davenport Jr. “This latest investment provides additional scale and geographic expansion that will enhance our ability to serve clients and deliver the most cost-effective solutions.”

The Hudson Legal eDiscovery leadership team will join the senior leadership team of the DTI Knowledge Solutions group, led by Christopher Aronson and Jason Brennan.

Hudson also announced today it ceased direct operations in Sweden. Revenue in Sweden was $214,000 in the third quarter. The Swedish operations had an operating loss of $713,000 in the third quarter.

For more on Hudson’s third-quarter earnings released today, click here.