Receives Multiple Indications of Interest
REDWOOD SHORES, Calif. – January 20, 2015 – Saba (OTC Pink: SABA), a global leader in cloud based intelligent talent management solutions, today provided an update on its previously announced process to evaluate strategic alternatives. Following discussions with a number of strategic and financial parties, Saba has received multiple non-binding indications of interest regarding a potential acquisition of the Company.
The Company intends to continue to work with its financial advisor, Morgan Stanley & Co. LLC, and its legal advisors to consider and evaluate the acquisition proposals and other potential opportunities in comparison to the Company's plan to continue operation as a standalone business. The indications of interest being considered by the Company provide for a purchase price per share in excess of the current quoted price for the Company’s common stock.
Although the Company has not established a definitive timeline to complete its strategic review process and no decision has been reached at this time regarding a specific counterparty, the Company anticipates being in a position to enter into a definitive agreement prior to February 15, 2015 if the Board of Directors determines to pursue a sale transaction. There can be no assurance that the review being undertaken will result in a sale or business combination, or a path different from the Company's current strategic plan. The Company does not intend to make any further announcements regarding the review unless and until the Board of Directors has approved a specific transaction or other course of action requiring disclosure.
Saba (OTCPink: SABA)delivers a cloud-based intelligent talent management solution used by leading organizations worldwide to hire, develop, engage and inspire their people. With machine learning at its core, Saba Cloud offers proactive, personalized recommendations on candidates, connections and content to help employees and businesses lead and succeed. It is purpose-built on a highly scalable platform that exceeds industry security and reliability standards. Saba has more than 31 million users and 2,200 customers across 195 countries and 37 languages. Learn more about intelligent talent management at www.saba.com.
This press release contains forward-looking statements within the meaning of the federal securities laws, including, without limitation, statements regarding the status of the Company’s current process to explore strategic alternatives, the Company’s expectations regarding proposals from interested parties and timing for entering into a definitive agreement, the Company’s plan to continue operations as a stand-alone business and the potential impact to the Company of deregistration of its common stock. Such statements are subject to inherent uncertainties and risks including risks with respect to the Company’s ability to complete a transaction in the event it is able to negotiate a definitive transaction agreement on satisfactory terms, the price and terms on which any such transaction might occur, the nature of the issues to be resolved in order for the Company to complete its restatement and the potential impact of the restatement on the Company’s financial performance and financial statements, the Company’s ability to continue to operate as a stand-alone business rather than pursuing a transaction and the potential impact of deregistration of the Company’s common stock under Section 12(j) including the expectation that broker-dealers and securities exchanges will not be permitted to facilitate transactions in the Company's securities following deregistration. The actual outcome of such matters could differ materially from those expressed in any forward-looking statements due to, among other things, the uncertainties of negotiating and completing a strategic transaction, risks relating to the performance of the Company’s business including after any Section 12(j) deregistration of the Company’s common stock, the Company’s ability to secure adequate funding to finance its strategic business plan as a stand-alone business, uncertainties in the market for acquisition financing that may be necessary for third parties to complete a transaction with the Company and uncertainties with respect to the Company’s ability to complete the work required for the pending restatement of its financial statements in a timely manner and the impact of the restatement on the Company’s sales, operations and financial performance. In addition, Saba faces risks and uncertainties that could affect timing of the completion of its restatement as well as the Company’s ability to secure a strategic alternative in order to protect shareholder value including material weaknesses that exist with respect to its internal controls over financial reporting or additional deficiencies in its internal controls over financial reporting that may be identified. Readers should refer to the section entitled “Risk Factors” in the Form 10-K for the fiscal year ended May 31, 2011, and similar disclosures in subsequent reports filed with the SEC. The forward-looking statements and risks stated in this press release are based on information available to Saba today. Saba assumes no obligation to update them.
VP of Investor Relations