Top Echelon Software, which is backed by SageLink Capital, has acquired CATS Software, an applicant tracking system for professional recruiters. No financial terms were disclosed. Hennepin Partners served as transaction advisor to CATS Software on the deal.
CANTON, Ohio and MINNEAPOLIS, Nov. 10, 2020 /PRNewswire/ — Top Echelon Software, the leading provider of recruiting software for people who build teams, is pleased to announce its acquisition of CATS Software, a leading applicant tracking system (ATS) designed specifically for professional recruiters who help companies from all over the world fill their hiring needs. This acquisition combines two best-of-breed ATS companies to address the complex and evolving challenges in the war for talent.
CATS serves more than 1,800, predominantly mid-sized professional recruiting and operating companies, with a rich software-as-a-service (SaaS) to manage talent acquisition, including tools for resume import and parse, job application collection, resume search, comprehensive reports, job board publication, and analytics.
The acquisition expands Top Echelon’s customer and revenue base and strengthens its software offering. Top Echelon will continue to support new and existing CATS customers, as well as expand its market reach to mid-sized businesses both domestically and globally.
According to Top Echelon Software CEO Mark Demaree, this merger represents the opportunity to combine the resources and experience of both companies to become the leading provider of applicant tracking and CRM software to serve and support their customers at an unparalleled level.
“We are constantly seeking ways to improve,” said Demaree. “We look forward to the opportunity that this merger offers to provide even more value to our customers in the form of additional features and enhanced functionality.”
“We’re excited about this development and we believe that it will greatly benefit our customers,” said CATS Product Manager Jeff Pauline. “We believe that our shared vision and combined resources will create many tremendous opportunities to further improve the service that we provide to our customers.”
Since its inception, Top Echelon has been an extremely customer-focused organization, seeking to continually exceed the expectations of its users. According to Demaree, CATS, likewise, has made a commitment to listening and acting on customer feedback, which is exactly what Top Echelon has done during its nearly 33 years in business.
In addition, this merger will provide an opportunity for CATS customers to explore membership in Top Echelon Network, a leading network of highly specialized search firms. The members of Top Echelon Network leverage each other’s resources for the purpose of making split placements with each other while helping their clients fill open positions with qualified candidates more quickly.
Top Echelon Board Member, Mike Robertson of SageLink Capital, said, “The acquisition of CATS is a significant step in consolidating the ATS middle-market. We see tremendous synergies between the two best-of-breed firms. Top Echelon and CATS, together serving our 4,000+ customers, clearly establishes us as the mid-market ATS leader.”
“It is our intention that this merger will greatly benefit the customers of both Top Echelon Software and CATS, both in the short term and in the long run,” said Demaree. “We are excited and optimistic about the shared vision of what this means for the recruiting and staffing industry, especially the executive search profession.”
Hennepin Partners served as the sole transaction advisor to CATS Software.
ABOUT TOP ECHELON SOFTWARE
Top Echelon Software is a provider of applicant tracking system (ATS), recruiting, and split placement network software. Top Echelon’s software helps its customers attract and retain talent, match workers’ skills to business needs and staffing clients’ objectives, and reduce the time and costs associated with processes. Founded in 1988, Top Echelon is headquartered in Canton, Ohio. For more information, visit topechelon.com.
ABOUT CATS SOFTWARE
CATS Software is a Minneapolis-based company that serves over 1,800 companies in over 50 different countries. Conceived by recruiters and open sourced for two years, their ATS is a tried and true product, serving recruiters and hiring managers for over ten years. For more information, visit catsone.com.
ABOUT SAGELINK CAPITAL
SageLink Capital is a leading independent sponsor focused on investing in medium-sized, growing businesses. SageLink has a keen interest in software, technology-enabled service, and business service companies in the U.S. and Canada. The firm focuses on middle-market companies and provides a range of capital solutions including capital for buyouts, growth initiatives, and add-on acquisitions. SageLink’s investments are for the long-term and are focused on growth. For more information, visit sagelinkcapital.com.
ABOUT HENNEPIN PARTNERS
Hennepin Partners is a boutique investment bank in Minneapolis, Minn. that provides M&A advisory services and strategic advice to entrepreneurs, private equity firms, and corporations. Hennepin Partners provides financial advisory services to clients in various industries including business and industrial services, consumer, food, retail, distribution, direct marketing, energy, engineered products, financial services, e-commerce, agricultural/AgTech and industrial technologies, healthcare, industrial products, manufacturing, SaaS, software, technology, and tech-enabled services. Visit hennepinpartners.com for more information.