California-based NetSuite will acquire TribeHR, a fast-growing Waterloo Region provider of cloud-based human resources management software.
Terms of the acquisition are not being disclosed pending the settlement of “customary closing conditions,” NetSuite said in a statement Tuesday.
The deal will bring TribeHR, a former Communitech Hub tenant company founded in 2009, under the umbrella of one of the world’s top cloud computing companies in business management software.
NetSuite, founded in 1998 and backed by Oracle founder Larry Ellison, is a publicly traded company with more than 2,000 employees and nine offices around the world.
TribeHR, currently based at 305 King St. W. in Kitchener near the Communitech Hub, is a venture-backed company that has seen impressive growth in its innovative social HR platform for companies of all sizes.
Earlier this year, the company joined NetSuite’s SuiteCloud Developer Network, created its SuiteApp and in May announced first-quarter sales growth of more than 100 per cent year-over-year. TribeHR now has more than 450 customers in 50-plus countries.
“TribeHR was founded on the idea that the best companies are built by inspired, connected and engaged employees,” Joseph Fung, co-founder and CEO of TribeHR, said in Tuesday’s statement. “The initial reception of TribeHR in the NetSuite installed base proved the power of coupling employee engagement with operational excellence, and we are excited about going where no company has gone before in combining core business process applications with employee interaction applications.”
NetSuite CEO Zach Nelson described TribeHR as “a rare HR software solution that combines the rich traditional HCM (human capital management) capabilities needed to manage growing organizations with an engaging social interface that encourages employee involvement and collaboration.”
The acquisition agreement calls for creation of “the first integrated cloud ERP (enterprise resource planning) and HCM (human capital management) software suite for small and mid-sized businesses,” Nelson said in the statement.
NetSuite plans to release further details during its third-quarter earnings call on Thursday at 5 p.m.
