PeopleSoft Acquiring SkillsVillage
Cash and stock deal valued at $32 million brings together two companies both working on automating services for the Internet.
"We see this as a terrific opportunity because SkillsVillage is a leader in the services space and accelerates us years ahead of the competition."
The combination of the two companies is expected to give PeopleSoft an edge in the online customer relationship management (CRM) and automated e-procurement sectors.
Pleasanton-based PeopleSoft specializes in CRM, supply chain management and enterprise management fields, while SkillsVillage is an application service provider (ASP) in automating services acquisition.
"We see this as a terrific opportunity because SkillsVillage is a leader in the services space and accelerates us years ahead of the competition," says Conway during a conference call to investors.
PeopleSoft says it added more than 50 new customers in the first quarter of 2001 and has always had a working relationship with Sunnyvale-based SkillsVillage.
"We've been working with PeopleSoft since we started the company so there are a lot of synergies that already exist. This is a natural," says SkillsVillage CEO Chris Wong.
Pending federal and stockholder approval, the acquisition is scheduled to close at the end of the month.