This business will be integrated into NorthgateArinso and funding for the acquisition has been provided by additional equity funding from funds managed by KKR, the majority shareholder in Northgate.
NorthgateArinso announced its intention to acquire the HRM division of Convergys on 4 March 2010. The acquisition supports the company's growth strategy and goal to be the number one focused provider of HR software and services globally, and substantially boosts its North American operations. The division now employs 8,000 people, a third of whom are in North America and in 35 countries worldwide. Total Northgate Group employees now exceed 12,000.
Mike Ettling chief executive of NorthgateArinso, said: "This deal is an important part of our plans to become the world's number one provider of HR services, building on our existing strength and our focus on delivering excellent value for customers. Completing this deal today takes us a step closer to achieving that. Since we announced the intention to acquire the HR management division of Convergys, we've received very positive feedback from customers and the wider marketplace.
"Through the acquisition of Convergys' HRM division, we've brought together great people, great technology and a world-class delivery model. This is a big step forward in our mission to continually challenge, improve and transform how HR is delivered worldwide."
