Join our daily newsletter At The Bell to receive exclusive market insights
- Talent acquisition platform LiveHire (LVH) has seen shares spike on the back of a major North American contract with the Ian Martin Group engineering firm.
- The contract is worth $400,000 and will add more than half a million candidate profiles to the LiveHire platform in the U.S. and Canada
- Over the next three years, the Ian Martin Group will use the LiveHire’s direct sourcing system to recruit IT, technical and engineering professionals
- LiveHire is up 36.4 per cent at market close, trading for 28 cents per share
Talent acquisition platform LiveHire (LVH) has seen shares spike on the back of a major North American contract with a North American engineering firm
The contract with the Ian Martin Group is worth $400,000 and will add more than half a million candidate profiles to the LiveHire platform in the U.S. and Canada.
Over the next three years, the Ian Martin Group will use the LiveHire’s direct sourcing system to recruit IT, technical and engineering professionals.
The group will pay out the deal through a proportional monthly contract, calculated based on the number of contractor invoices and bills, which is influenced by the number of staffers hired each month.
LiveHire expects to reach the contract’s annual revenue run rate by July 1 this year. All other contract details, however, are considered commercially sensitive and haven’t been disclosed to the market.
The direct sourcing market
LiveHire is tapping into the direct sourcing market, which is worth US$130 billion in the U.S.
Direct sourcing involves creating data ‘clouds’ of contractor talent for companies to access. These virtual information pools store data on prospective candidates, making it easier for managers to directly source staff on a contractual basis when they need them most.
Employing workers as contractors with tools like direct sourcing is said to decrease a company’s salary spend. Additionally, the need to cut costs and create more flexible workforces during the COVID-19 pandemic has seen an uptake for direct sourcing databases like LiveHire.
According to the company, Ian Martin is just one of many direct sourcing clients in the pipeline. Last financial year, LiveHire’s annualised recurring revenue increased by a staggering 88 per cent — indicating there’s little slowing the HR helper down.
LiveHire is up 36.4 per cent at market close, trading for 28 cents per share.
