| NEW YORK, Sept 25
NEW YORK, Sept 25 Indeed, the online jobs search
Website, has agreed to be bought by Japan's executive search
firm Recruit Co Ltd for an undisclosed amount after several
months of direct negotiations, its co-founder Paul Forster said.
Indeed, which was launched in 2004 and has doubled in
revenue each of the past three years, had mulled going public
but found Recruit's offer "very compelling," Forster said.
Morgan Stanley advised Indeed on the sale.
Employers, recruiters and job boards promote their job
advertisements to millions of users on Indeed.com. In 2010,
Indeed.com surpassed Monster.com in becoming the largest job
site in the U.S. by unique visitors, according to comScore.
Union Square Ventures and the New York Times Co are
principle investors in Indeed, with Allen & Co owning a smaller
stake. The company raised $5 million in financing in 2005 with
the three investors.
"That took us to profitability in 2007 and the company
hasn't needed any additional outside funding since then,"
Although Forster would not disclose specific multiples, he
said the investors have received "very healthy" returns.
Discussions with Recruit started as early as March, and
although the company also spoke with a number of other parties,
it did not run an auction process, Forster said. The deal
requires regulatory approvals under the Hart-Scott-Rodino
Antitrust Improvements Act in the United States, and is expected
to close in early October.
The deal will allow Indeed to deepen its presence in Asia,
while also continuing its expansion in Europe and the Americas.
Indeed, with 550 employees, advertises jobs in over 50 countries
and in 26 languages.
Recruit, which is privately held, has annual revenue of over
$10 billion and more than 22,000 employees. Indeed co-founders
Forster and Rony Kahan will stay on with the company, which will
be run as an independent subsidiary of Recruit, Forster said.