Shares of enterprise AI software and services provider Veritone (NASDAQ:VERI) are tanking today after the company announced the acquisition of software-as-a-service provider Broadbean for $52 million.
Broadbean provides talent acquisition and engagement solutions and the acquisition strengthens Veritone’s artificial intelligence (AI) powered HR solution offerings. Impressively, Broadbean adds over five billion data points to Veritone’s algorithms and analytics.
The transaction is anticipated to close in the second quarter or early third quarter and is expected to generate more than $35 million in revenue per year.
Along with this acquisition, Veritone has also announced top-level changes in its HR Solutions vertical. Terry Baker will step down as President and CEO of PandoLogic (a subsidiary of Veritone) and act as an independent advisor to Veritone. The company is appointing Matthew O’Connor as the Chief Revenue Officer at Veritone HR Solutions as well.
Overall, the Street has a $6.60 consensus price target on Veritone alongside a Hold consensus rating.
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