Greenhouse, the applicant tracking and job recruitment software, has agreed to sell a majority stake to TPG Growth. The terms of the transaction were not disclosed but it has been reported that the transaction values the Greenhouse at $820M. TPG’s investment at this time is approximately $500M, consisting of ~$450M to acquire stock from existing shareholders (investors and employees) and ~$47M in new equity investment via a related TPG fund.
“Winning businesses are built by talented individuals. Yet every day, organizations around the world base their hiring decisions on hunches and without data, perpetuating biases and limiting human potential. We founded Greenhouse to help companies become great at hiring and reduce bias in the hiring process,” remarked Daniel Chait, CEO and Founder of Greenhouse. “Through this investment from TPG Growth and The Rise Fund, we gain a partner with the resources and vision to support our growth, and who is totally aligned with our mission. The Rise Fund’s unique focus on real, measurable impact is so exciting because it supports our ability to drive positive outcomes for our customers and for society as a whole.”
Winning businesses are built by talented individuals. Yet every day, organizations around the world base their hiring decisions on hunches and without data, perpetuating biases and limiting human potential. We founded Greenhouse to help companies become great at hiring and reduce bias in the hiring process. Through this investment from TPG Growth and The Rise Fund, we gain a partner with the resources and vision to support our growth, and who is totally aligned with our mission. The Rise Fund’s unique focus on real, measurable impact is so exciting because it supports our ability to drive positive outcomes for our customers and for society as a whole. – Daniel Chait
Founded by Chait and Jon Stross in 2012, Greenhouse has raised a total of $157.1M in reported equity funding. Investors in the company include Benchmark, Felicis Ventures, FundersClub, Social Starts, Social Capital, Thrive Capital, Resolute Ventures, Frontline Ventures, Riverwood Capital, Lumia Capital, Groupe Arnault, Thomas Lehrman, William Lohse, Paul Appelbaum, Seth Goldstein, Thatcher Bell, and Nick Ganju. The transaction is expected to close in the first half of the year.
“Greenhouse’s solutions are built to combat a significant issue in today’s hiring and talent acquisition processes,” remarked Steve Ellis, Co-Managing Partner of The Rise Fund. “Reducing inequality and achieving greater diversity, equity, and inclusion continues to be a major challenge at companies of all sizes and Greenhouse’s products show compelling progress towards reducing racial and gender bias in the hiring process. We are excited to work with Greenhouse and its talented management team to continue tackling this incredibly complex issue.”
Greenhouse’s solutions are built to combat a significant issue in today’s hiring and talent acquisition processes. Reducing inequality and achieving greater diversity, equity, and inclusion continues to be a major challenge at companies of all sizes and Greenhouse’s products show compelling progress towards reducing racial and gender bias in the hiring process. We are excited to work with Greenhouse and its talented management team to continue tackling this incredibly complex issue. – Steve Ellis”
