Taleo to raise $132 million in offering

AP News
Posted: Nov 20, 2009 8:45 AM

Recruitment agency Taleo Corp. said Friday a public stock offering could raise up to $131.6 million.

The Dublin, Calif., company priced an offering of 6.5 million common shares at $20.25 apiece. Underwriters have an option to purchase up to 975,000 shares of Class A common stock to cover overallotments, if any.

Taleo said in its prospectus it intends to use the net proceeds for general corporate purposes, including adding to working capital and capital spending. The company said it will likely use a portion or potentially all the net proceeds to acquire or invest in "complementary businesses, products or technologies."

"Our management might not be able to yield a significant return, if any, on any use of these net proceeds," the company said.

Credit Suisse Securities LLC and J.P. Morgan Securities Inc. are joint book-running managers. Oppenheimer & Co. Inc. is co-manager.

In premarket trading, Taleo shares fell to $20.35 from Thursday's close of $21.