Recruit Co. to Acquire Indeed.com [UPDATED]
Trusted sources are saying LinkedIn Recruit Co. Ltd will announce the purchase of Indeed.com this week. Maybe as soon as Tuesday. The dollar amount being thrown around is $1 billion. LinkedIn’s market cap is roughly $13 billion.
If true, it would certainly squash the rumors of LinkedIn buying Monster, bypassing the job board model in favor of vertical search. LinkedIn has its own job posting solution, of course, and currently supplies users with a secondary search, powered by Simply Hired.
I suspect this deal, assuming it goes down, has a lot more to do with taking out an upcoming competitor than it does vertical job search. Think Facebook taking out Instagram.
More than Monster, Indeed has been quickly building a resume database and their “Apply with Indeed” company pages look awfully familiar and directly competitive with key LinkedIn initiatives.
And keep an eye on the employment space if this goes down as rumoreed. It could help set the market for other job sites looking to sell out to most eligible sugar daddies. Monster’s stock price, for instance, will be fun to watch.
Could be a fun week. We’ll see. Stay tuned.
UPDATE (9/24/12; 9:47 p.m., PST) – Another trusted source has come forwarded saying LinkedIn is not the buyer, but that Indeed is, in fact, being acquired.
UPDATE (9/24/12; 10:28 p.m., PST) – Rumors of a “Japanese firm” buying Indeed is a common theme as this thing snowballs. Now, what exactly “Japanese firm” means is unknown. Private equity, perhaps? The number $1.2 billion has been thrown out.
UPDATE (9/24/12; 11:57 p.m., PST) – It’s official. According to their blog, Indeed has sold to Japanese-owned Recruit Co. Click here for details.