Young and dynamic, people screening and background verification services provider CV Check Ltd (ASX:CV1) has announced a strategic alliance with Xref Limited (ASX: XF1), the human resources technology company.
CVCheck is an expanding business with growing revenue streams through the provision of its check products to employers (corporates and SMEs), industry associations and individuals. The company has been operating for more than a decade and consistently strives to update and enhance its world-class online platform for higher client satisfaction and optimisation of their order experience, making sure that services remain relevant in a rapidly evolving world.
More on the company’s Comprehensive Range Of Checks available across the globe may READ here
Xref provides automated reference checking software with a high growth business in the human resources technology sector. The cloud-based, automated nature of its platform makes it a unique candidate referencing solution helping clients to save time and money during the recruitment process while also enabling them to make smarter, more informed hiring decisions.
The strategic alliance between these two companies is set to create a formidable offering that is going to be mutually beneficial for their customers.
Key Attributes of the Agreement
Under the agreement, CVCheck users will have access to Xref’s reference checks while the users of the Xref platform will be able to add multiple products from CVCheck to their verification process. Moreover, all mutual customers will enjoy the freedom of choosing which platform they lead with when conducting their candidate verifications.
For a while, clients had been demanding a best-of-breed solution to all candidate verification requirements across the ANZ (Australia and New Zealand) region and the alliance has been forged with that perspective.
Both CVCheck and Xref are dominant businesses in the market which makes this alliance a powerful multi-platform reach that builds on the strengths of each company and offers them both even greater spread across a region they are already performing exceptionally well in. With system integration process initiated, the two have also agreed on a joint go-to-market strategy, which will inform how the sales and customer success teams of both companies take the new offering to potential and existing clients.
CVCheck procures checks from around the world. Thus, global clients of Xref will also benefit from the addition of CVCheck even though the alliance is primarily focused on addressing a need in the ANZ region. Xref is also planning to open up current integrations to offer CVCheck services to clients using Xref via an ATS or other HR tech solution, in the future.
Key Personnel Comments
The leaders from both the companies are thrilled and looking forward to the exciting opportunities ahead.
Xref Executive Director / CEO, Lee-Martin Seymour explained that, “Having co-existed with CVCheck in the ANZ market for some time, we’ve always had a healthy level of competition, as well as admiration for the level of service we each provide clients.”
He also added that the two companies have a mutual appreciation for the importance of continually expanding on the value that they offer, and this agreement is a mark of that shared commitment. The two companies are excited about the integrations and the resulting positive impact on the clients.
CVCheck Going Strong
CVCheck reported group revenue of $ 12.4 million for FY19 and recently posted record revenue of $ 3.5 million, with $ 2.6 million coming from B2B customers for the quarter ended 30 September 2019 (Q1FY20). ARR continues to expand as a result of new client wins and greater ARPA. With additional revenue currently being onboarded from recent large enterprise wins and product releases, CVCheck is well positioned to continue on this path for the rest of FY20.
Stock Performance: CVCheck’s market cap stands at ~ AUD 40.19 million and it has ~ 292.2 million shares outstanding. Xref Limited’s market capitalisation stands at around AUD 66.15 million with 167.46 million shares outstanding.
On 19 November 2019, the stock of CVCheck settled the day’s trade at AUD 0.140. CV1 has delivered positive returns of 180% Year-to-date, 16.67% in the last six months and 12% in the last one month.
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