Clearlake Capital-Backed Cornerstone Enters Definitive Agreement to Acquire EdCast
17 March 2022
Acquisition is a strong fit with Cornerstone’s strategy to transform the learning software market landscape and accelerate Cornerstone’s vision to innovate and reimagine the growth experience for people at work
March 17, 2022, London - Cornerstone OnDemand, a leader in adaptive cloud-based HR software solutions, today announced it has entered into a definitive agreement to acquire EdCast, a learning experience platform (“LXP”) software provider. Terms of the transaction, which is expected to close in Q2 2022, were not disclosed.
The Company believes the combination aligns well with Cornerstone’s strategy of transforming the learning software market. Cornerstone, an industry leader in learning and talent software-as-a-service (“SaaS”) solutions, and EdCast, an LXP software provider, expect to reimagine the people growth experience to create the next generation technology blueprint for the future-ready workforce. Together Cornerstone and EdCast will accelerate value for customers with innovations in experiential learning, content and skill building, and a unified and scalable talent infrastructure designed to transform learning into a connected engine of growth, agility and mobility for people and business.
“We are thrilled at the prospect of bringing such an incredible team of learning experts together to revolutionise the learning market,” said Himanshu Palsule, CEO of Cornerstone. “Today’s fragmented HR technology landscape is ripe for reinvention as organisations seek new ways to unify people and business in areas most critical to growth - workforce engagement, talent retention, skills transformation, and career mobility. Cornerstone and EdCast have the potential to deliver a next-generation learning and talent infrastructure, rapidly innovate a connected people growth experience, and create a new blueprint for the way organisations and their people grow and thrive, together.”
EdCast is a provider of LXP software solutions, known for its expertise and innovation in aggregating, curating, targeting, and delivering personalised and contextual learning to users. EdCast’s platform is powered by a skills engine and a content marketplace, with an experience delivered in the flow of work via an AI-powered knowledge cloud.
“The combination of Cornerstone and EdCast is poised to accelerate the pace of innovation in the market,” said Karl Mehta, CEO of EdCast. “Together we will transform the way our customers develop the skills of the future, retain and grow their people, improve agility, and unify and scale learning and talent infrastructure in lockstep with business needs.”
This acquisition is the first planned transaction by Cornerstone since joining the Clearlake portfolio in late 2021. With its strategic foundation established, significant positive momentum across the business, and optimal flexibility as a private company, Cornerstone is now poised to accelerate its growth and re-shape the future of the market. Clearlake and Cornerstone plan to continue accelerating the company’s value through inorganic and organic growth, transformation and market consolidation.
“The acquisition of EdCast underscores the fundamental growth thesis we see for Cornerstone in the market as a leading talent management SaaS platform provider,” said Prashant Mehrotra, Partner, and Paul Huber, Managing Director at Clearlake. “We are excited to continue building on Cornerstone’s industry reputation for providing innovative software solutions to our customers through acquisitions and organic initiatives. This acquisition represents an incredible opportunity for Cornerstone to deliver more value to our customers and their employees and combined with our O.P.S.® approach, should drive accelerated growth and value for the business.”
- The transaction is expected to close in the second quarter of 2022
- The acquisition of EdCast is the first planned transaction by Cornerstone since becoming a private company and part of the Clearlake Capital portfolio
- Macquarie Capital (USA) Inc. served as financial advisor to EdCast
Cornerstone powers the future-ready workforce with adaptive HR solutions designed to unite technology, data and content and inspire a work environment of growth, agility and success for all. With an AI-powered, skills-forward, experiential system designed for the contemporary workforce, we help organisations modernise their learning and development experience, deliver the most relevant content from anywhere, accelerate talent and career mobility and establish skills as the universal language of growth and success across their business. Cornerstone serves over 6,000 customers and 75M users and is available in 180 countries and 50 languages.
EdCast is an award-winning platform for end-to-end employee and talent experience journeys spanning learning, skilling and career mobility. EdCast’s customers range from G2000 companies to small businesses to government organisations. With EdCast’s platform, enterprises are able to attract, develop and retain a high-performance and future-ready workforce. EdCast's offerings include its Talent Experience Platform (TXP), Content Strategy & Solutions (CSS), Spark for SMBs and MyGuide Digital Adoption Platform (DAP). For additional information, visit www.edcast.com or follow EdCast on LinkedIn.
Clearlake Capital Group, L.P. is an investment firm founded in 2006 operating integrated businesses across private equity, credit and other related strategies.With a sector-focused approach, the firm seeks to partner with management teams by providing patient, long-term capital to businesses that can benefit from Clearlake’s operational improvement approach, O.P.S.® The firm's core target sectors are technology, industrials, and consumer. Clearlake currently has over $60 billion of assets under management, and its senior investment principals have led or co-led over 300 investments. The firm has offices in Santa Monica and Dallas. More information is available at www.clearlake.com and on Twitter @Clearlake.