ST. LOUIS - TALX Corporation (NASDAQ:TALX) today announced the acquisition of Jon-Jay Associates, which specializes in providing unemployment cost management services as well as an employment verification service.
Jon-Jay, headquartered in Boston, had revenues of approximately $8.5 million in 2004 and is expected to be accretive to TALXís fiscal 2006 earnings per share. The purchase price of approximately $24 million in cash was financed through TALXís new credit facility that was announced last week.
William W. Canfield, chairman and chief executive officer of TALX, said, With our acquisitions of several unemployment cost management businesses over the last three years, we have shaped a strong market position with our UC eXpress(R) services. This newest acquisition enhances our market position with approximately 900 additional clients, and provides approximately six million new employment-related data records for our leading service - The Work Number(R). With the additional data records provided by this acquisition, we can better serve the needs of our verifying clients.
Jon-Jay has been a family-owned business with a strong 40-year tradition of excellent service and is a well-respected company in the Boston and Columbus, Ohio business communities where it operates. We are delighted to have this experienced, professional team as part of TALX. There is an exceptional fit between Jon-Jayís businesses, its approach to service delivery and TALXís existing services. We are excited about the opportunities that uniting these businesses offers, and welcome these businesses, clients and employees to TALX.
Benefits of the acquisition include:
An expanded customer base for TALXís enhanced tax management services;
Additional employment records that will expand the database for The Work Number, the nationís leading automated employment and income verification service; and
Excellent cross-selling opportunities for TALX to provide more of its expanding outsourced services to clients desiring fewer vendor relationships.
Distributed by HR Marketer.com
TALX Corporation (NASDAQ:TALX) announces the acquisition of Jon-Jay Associates
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