EmployBridge and IAC (NASDAQ: IAC) have entered into a definitive agreement for EmployBridge to purchase IAC’s Bluecrew business unit, the first hourly W-2 workforce-as-a-service platform. EmployBridge is a leading provider of technology-enabled, light industrial workforce solutions in the United States. EmployBridge’s market-leading product and scale and Bluecrew’s digital-first business strategy and technology will be combined through the purchase to establish a top-tier, nationwide workforce management platform.
“The role of our industry has never been more critical as employers continue to face widespread hiring challenges across sectors, Our clients and talent increasingly expect a seamless digital experience, and with the addition of Bluecrew, we will immediately accelerate our technological transformation to capture this growing demand, while creating a flywheel to drive growth in the other areas of our business. Bluecrew brings a world-class team and a sophisticated, self-service product that will complement our own distinguished offerings, allowing us to provide an unmatched experience.”
– Billy Milam, CEO of EmployBridge
EmployBridge, a portfolio company of the Apollo Fund and the largest provider of light industrial staffing solutions in the country, will be combined with Bluecrew’s app-based model and proprietary digital platform as part of this highly strategic transaction to provide businesses with market-leading, tech-enabled workforce solutions and unrivaled opportunities for job seekers. The first national workforce-as-a-service platform will be created as a result, and it will have the scope and cutting-edge technology to completely transform the user experience and value proposition for both customers and employees.
Following the acquisition, Billy Milam, the CEO of EmployBridge, will report to Stephen Avalone, the CEO of Bluecrew.
As a digital-first business, Bluecrew has created a cutting-edge, seamless user experience that reinvents how people interact with hourly employment, providing the adaptability, effectiveness, and dependability that both employees and employers need to thrive in today’s quickly changing labour market. By partnering with EmployBridge, we will have the size, resources, and presence to take Bluecrew’s concept and expedite a meaningful transformation in the category by placing our best-in-class platform in the hands of a lot more companies across the country. The CEO of Bluecrew, Stephen Avalone, expressed his eagerness to begin.
IAC will receive compensation in the form of cash and stock in the combined company, according to the terms of the agreement, and will so become a minority shareholder in the combined business, which will generate over $4 billion in pro forma revenue after the transaction is completed. The united business will continue to be controlled by Apollo funds.
This deal is a significant advancement in our commitment to assisting in growth through strategic investments in technology, innovation, and talent experience since our investment in EmployBridge in 2021. Robert Kalsow-Ramos, an Apollo Partner, said, “We look forward to working with IAC and supporting the management team in its continued development in establishing the premier workforce management platform and ecosystem.”
The deal is subject to typical closing requirements and is anticipated to close in the fourth quarter of 2022. EmployBridge received financial advice from RBC Capital Markets, Evercore, and Houlihan Lokey, as well as legal guidance from Paul Weiss. IAC had Morrison Cohen represent it in legal matters.
EmployBridge, a leader in workforce solutions, offers job opportunities and value-added workforce solutions through specialized divisions with a particular focus, such as Decca, Hire Dynamics, ProDrivers, ProLogistix, Remedy Intelligent Staffing, RemX, Resdin, ResourceMFG, Select, Vaughan, and Westaff. EmployBridge is regarded by Staffing Industry Analysts as being the largest industrial staffing company in the country because of its ability to combine the benefits of a national footprint with in-depth local market knowledge, supply-chain experience, and effective recruiting and retention solutions. Over 450,000 temporary workers are employed by the organization each year throughout a network of 446 offices in 48 states. EmployBridge gave 13,000 clients more than 157 million labor hours in 2021. By offering free, career-focused skills development courses to its temporary associates as well as personal training courses through the company’s Better WorkLife Academy and Life Skills Studio, in which more than 28,000 temporary associates are currently enrolled, EmployBridge is also assisting in bridging the skills gap in America’s supply chain. A number of investment funds are majority-owned by Apollo Global Management, Inc., and its affiliates and subsidiaries run EmployBridge.
For organizations with varying demand and labour requirements, Bluecrew is the only W-2 Workforce-as-a-Service platform that combines the power of flexible W-2 labour, workforce management technology, and actionable data and analytics. For hourly employees looking for flexible yet steady job opportunities, Bluecrew combines the dependability of traditional W-2 work with the technology and flexibility of the gig economy in a powerful and user-friendly smartphone app. By matching businesses across 25+ markets—including warehousing, logistics, catering, hospitality, manufacturing, and more—with over 100,000 pre-vetted, work-ready “Crew Members,” Bluecrew’s data-driven technology enables seamless workforce scalability. This ensures that the best candidates are hired for each position, every time.
IAC (NASDAQ: IAC) creates businesses. Our compass is curiosity, scepticism of the status quo, and a desire to produce or acquire new products and brands. From the one seed that began as IAC more than 20 years ago, 11 public companies and generations of extraordinary executives have grown. Our essential principles of financially responsible opportunism will not change, despite the fact that we will continually evolve. Angi Inc. (NASDAQ: ANGI), Dotdash Meredith, and Care.com are just a few of the industry-leading companies that make up IAC today. Other companies range from start-ups to well-established enterprises. IAC has offices all around the world and its headquarters are in New York City.