NEW YORK, Nov. 10, 2014 (GLOBE NEWSWIRE) -- Hudson Global, Inc. (Nasdaq:HSON), a leading global talent solutions company, today announced that it has completed the sale of its Legal eDiscovery business to DTI, the largest privately-held legal process outsourcing (LPO) company in the U.S. providing eDiscovery, managed services and litigation support. DTI paid $23 million in cash for the assets of Hudson's Legal eDiscovery business, subject to a customary post-closing net working capital adjustment.
Hudson first announced its plan to sell its eDiscovery business in May 2014 as part of its strategy to focus on its core businesses to accelerate growth, drive towards sustained profitability and increase the value of the company for its stockholders.
"We are very excited to announce the successful sale of our eDiscovery business to a pre-eminent company in the field of legal process outsourcing and eDiscovery services," said Manolo Marquez, chairman and chief executive officer at Hudson. "We built a leading managed review business over the years and have now found the right home for it."
Hudson Legal eDiscovery has been a leader in the provision of managed document review to law firms and corporations. Its focus on legal management in the eDiscovery market place complements the comprehensive and defensible eDiscovery, review, compliance, information management and related legal process outsourcing services DTI provides corporate clients—and the law firms that serve them. Hudson Legal eDiscovery will strengthen DTI's geographic footprint, including providing DTI with its first European service location in London.
"We are committed to continuing to strengthen and expand our legal process services offerings to clients," said John Davenport Jr., founder and chief executive officer of DTI. "The addition of Hudson's eDiscovery managed review business provides both additional scale and geographic expansion that will enhance our ability to serve clients and deliver the most cost effective solutions."
About Hudson
Hudson is a global talent solutions company with expertise in leadership and specialized recruitment, recruitment process outsourcing, talent management and contracting solutions. We help our clients and candidates succeed by leveraging our expertise, deep industry and market knowledge, and proprietary assessment tools and techniques. Operating in nearly 20 countries through relationships with millions of specialized professionals, we bring an unparalleled ability to match talent with opportunities by assessing, recruiting, developing and engaging the best and brightest people for our clients. We combine broad geographic presence, world-class talent solutions and a tailored, consultative approach to help businesses and professionals achieve higher performance and outstanding results. More information is available at Hudson.com.
About DTI
DTI is the largest privately held legal process outsourcing (LPO) company in the U.S. serving law firms and corporations. DTI helps its clients accelerate the changes they must make to remain competitive. DTI is a preeminent leader in the management of information and processes. The company manages risks and minimizes costs associated with complex litigation and compliance functions. The company's extensive experience in eDiscovery, managed services and litigation support is unmatched in the industry. To learn more about DTI's national footprint, flexibility, capacity and world-class project management, visit www.DTIglobal.com.
Forward-Looking Statements
This press release contains statements that the company believes to be "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact included in this press release, including statements regarding the company's future financial condition, results of operations, business operations and business prospects, are forward-looking statements. Words such as "anticipate," "estimate," "expect," "project," "intend," "plan," "predict," "believe" and similar words, expressions and variations of these words and expressions are intended to identify forward-looking statements. All forward-looking statements are subject to important factors, risks, uncertainties and assumptions, including industry and economic conditions' that could cause actual results to differ materially from those described in the forward-looking statements. Such factors, risks, uncertainties and assumptions include, but are not limited to, global economic fluctuations; the company's ability to successfully achieve its strategic initiatives; risks related to fluctuations in the company's operating results from quarter to quarter; the ability of clients to terminate their relationship with the company at any time; competition in the company's markets; risks associated with the company's investment strategy; risks related to international operations, including foreign currency fluctuations; the company's dependence on key management personnel; the company's ability to attract and retain highly skilled professionals; the company's ability to collect accounts receivable; the negative cash flows and operating losses that the company has experienced in recent periods and may experience from time to time in the future; restrictions on the company's operating flexibility due to the terms of its credit facilities; the company's ability to achieve anticipated cost savings through its cost reduction initiatives; the company's heavy reliance on information systems and the impact of potentially losing or failing to develop technology; risks related to providing uninterrupted service to clients; the company's exposure to employment-related claims from clients, employers and regulatory authorities, current and former employees in connection with the company's business reorganization initiatives and limits on related insurance coverage; the company's ability to utilize net operating loss carry-forwards; volatility of the company's stock price; the impact of government regulations; restrictions imposed by blocking arrangements; risks related to activist stockholders; and risks related to limited availability under the company's credit facilities. Additional information concerning these and other factors is contained in the company's filings with the Securities and Exchange Commission. These forward-looking statements speak only as of the date of this document. The company assumes no obligation, and expressly disclaims any obligation, to update any forward-looking statements, whether as a result of new information, future events or otherwise.