On August 27, 2012, IBM and Kenexa announced that the two companies have entered into a definitive merger agreement for IBM to acquire Kenexa in an all-cash transaction at a price of $46.00 per share, or a net price of approximately $1.3 billion. Cravath represented IBM in connection with this transaction. The acquisition, which is subject to Kenexa shareholder approval, applicable regulatory clearances and other customary closing conditions, is expected to close in the fourth quarter of 2012.
Kenexa is a leading provider of recruiting and talent management solutions. Kenexa brings a unique combination of Cloud-based technology and consulting services that integrates both people and processes, allowing organizations to create a smarter workforce across their most critical business functions.
The Cravath team was led by partner Scott A. Barshay and included associates Keith Hallam and Deborah R. Eltgroth on M&A matters; partner Michael L. Schler, practice area attorney Michael Krasnovsky and associates Jonathan J. Katz and Michelle M. Garrett on executive compensation and benefits matters; partner Andrew W. Needham and associates J. Leonard Teti II, Neetin Gulati and Andrew Carlon on tax matters; and partner Matthew Morreale on environmental matters. Summer associate Daniel Cerqueira also worked on corporate matters.