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Recruit Co. Ltd., the world’s seventh-largest staffing firm, is acquiring job search site Indeed. Privately held Indeed was owned by The New York Times Company, Allen & Company and Union Square Ventures.
Terms of the transaction were not released. However, The New York Times Company expects an after-tax gain of $100 million on the deal, according to a filing with the U.S. Securities and Exchange Commission.
Indeed launched in 2004 and is now available in more than 50 countries and 26 languages. The deal should close in early October and will deepen Indeed’s presence in Asian markets while continuing its expansion in Europe and the Americas.
“We see tremendous opportunities for growth internationally and specifically in Asian markets,” said Rony Kahan, co-founder of Indeed. “Recruit plans to invest in building our leadership position globally, accelerating our international expansion and revenue stream.”
Stamford, Conn.-based Indeed secured $5 million in Series A financing from Union Square Ventures and The New York Times Company in 2005, Kahan said. The company didn’t require any additional external financing following that and by 2007 was profitable with cash flow positive.
Indeed will be an independent operating unit of Recruit, led by Indeed’s current senior management team.
Recruit is based in Tokyo. It had estimated global staffing revenue of $4.76 billion in 2011. The company also has publishing operations. Recruit has recently acquired several U.S.-based staffing firms, and its U.S. brands include Staffmark, The CSI Companies and Advantage Resourcing. Recruit is also planning an initial public offering. Read the IPO story here.