Summary of Hudson Global and STAR Equity Holdings Merger Announcement Conference Call Industry and Companies Involved - **Companies**: Hudson Global and STAR Equity Holdings - **Industry**: Staffing and Recruitment Services Core Points and Arguments 1. **Merger Announcement**: Hudson and STAR signed a definitive merger agreement to form a new company, NewCo, through a stock-for-stock transaction where STAR shareholders will receive 0.23 shares of Hudson for each STAR share held [4][5] 2. **Ownership Structure**: Post-merger, Hudson shareholders will own approximately 79% of NewCo, while STAR shareholders will own about 21% [5] 3. **Financial Projections**: NewCo is expected to have pro forma annualized revenue exceeding $200 million and aims for annualized cost savings of at least $2 million within 12 months of the merger [6] 4. **Growth Goals**: NewCo targets reaching $40 million in adjusted EBITDA by February 2030, based solely on organic growth [7] 5. **Operational Segments**: NewCo will consist of four reporting segments: Building Solutions, Business Services, Energy Services, and Investments [7] 6. **Market Capitalization Benefits**: The merger is expected to improve stock trading liquidity and market capitalization, facilitating a potential addition to the Russell 2000 Index [6] 7. **NOL Utilization**: NewCo will better utilize Hudson's substantial federal net operating losses (NOL) compared to Hudson operating independently [7][17] Additional Important Content 1. **Cost Savings**: The merger is anticipated to eliminate duplicative costs associated with being a public company, potentially leading to greater cost savings than initially projected [14][15] 2. **Acquisition Strategy**: STAR's strategy focuses on acquiring businesses to complement existing platforms and establish new growth avenues, with a history of successful acquisitions [9][38] 3. **Operational Continuity**: Hudson RPO will maintain its day-to-day operations without disruption, focusing on customer service and growth orientation [11][20] 4. **Shareholder Approval**: A majority vote from both companies' shareholders is required for the merger to proceed, with a timeline expected in Q3 2025 [22][28] 5. **Dividends**: STAR's preferred stock will continue to pay dividends post-merger, with no changes expected for preferred shareholders [59][60] 6. **Market Dynamics**: The merger aims to address the challenges of being a microcap company, which often leads to illiquidity and undervaluation in the market [55] This summary encapsulates the key points discussed during the conference call, highlighting the strategic rationale behind the merger, financial expectations, and operational plans for the newly formed entity.

Group 1: Financial Performance - ADP's stock has increased by 10.8% year-to-date, outperforming the industry and the S&P 500 composite, which grew by 6.7% and 0.8% respectively [1] - In the third quarter of fiscal 2025, ADP reported earnings per share of $3.06, exceeding consensus estimates by 3.4% and showing a 6.3% increase year-over-year [1] - Total revenues reached $5.6 billion, surpassing consensus estimates by 1.1% and growing 5.7% year-over-year [1] Group 2: Business Strategy - ADP employs a three-tier business strategy to enhance its human capital management (HCM) and HR outsourcing (HRO) services, focusing on cloud-based solutions [2] - The company is expanding its international HCM and HRO businesses with local software solutions and multi-country cloud-based offerings [2] - ADP's transformation initiative aims to accelerate DataCloud penetration and improve operations, which is expected to enhance margins [3] Group 3: Dividend Policy - ADP has shown a strong commitment to returning value to shareholders, with dividend payouts increasing from $1.7 billion in 2022 to $2.2 billion in 2024 [4] - The anticipated steady income growth supports the optimistic outlook on ADP's ability to maintain consistent dividends [4] Group 4: Financial Ratios - As of the end of the third quarter of fiscal 2025, ADP's current ratio was 1.02, which is below the industry average of 2.38 but still indicates the ability to meet short-term obligations [5] Group 5: Competitive Landscape - ADP faces significant competition across its product lines, particularly in Employer services and PEO services, which affects its retention rate [7] - The labor-intensive nature of the outsourcing industry and reliance on foreign talent necessitate increased hiring, leading to rising talent costs and potential impacts on industry growth [8]

Core Viewpoint - The merger between Star Equity Holdings, Inc. and Hudson Global, Inc. aims to create a larger, more diversified holding company, enhancing shareholder value and accelerating growth opportunities for both companies [1][5]. Transaction Highlights - The merger will result in a new entity, "NewCo," with pro-forma annualized revenues of $210 million and a goal of achieving $40 million in Adjusted EBITDA by 2030 [6]. - The merger is expected to generate at least $2 million in annualized cost savings within 12 months, translating to approximately $0.57 in incremental pro-forma EPS [6]. - NewCo will benefit from Hudson's $240 million in U.S. Federal net operating losses (NOL), which are more likely to be utilized than if Hudson operated independently [6]. Transaction Details - The merger will be a stock-for-stock transaction, with Hudson acquiring all outstanding shares of Star, issuing 0.23 shares of HSON common stock for each share of STRR common stock [6]. - Upon completion, Hudson shareholders will own approximately 79% of NewCo, while Star shareholders will own about 21% of the estimated 3.49 million shares outstanding [6]. - The merger is anticipated to close in the second half of 2025, pending regulatory and shareholder approvals [6]. Management and Structure - NewCo will have four reporting segments: Building Solutions, Business Services, Energy Services, and Investments [7]. - The board of directors for NewCo will include three independent directors from each company, with Jeff Eberwein as CEO and Rick Coleman as COO [7]. Company Background - Hudson Global, Inc. is a global total talent solutions provider, while Star Equity Holdings, Inc. operates as a diversified holding company with divisions in Building Solutions, Energy Services, and Investments [15][16].

Core Viewpoint - The proposed buyout of TaskUs, Inc. by its three largest shareholders, including Blackstone, is under investigation due to concerns about the fairness of the deal and potential conflicts of interest [1][4]. Company Overview - TaskUs is recognized as a leading provider of outsourced digital services and next-generation customer experience for innovative companies [2]. - The company has a positive outlook, with Wall Street analysts setting an average one-year stock price target of $18.50 per share, and a high target of $22 per share [2]. Buyout Details - On May 9, 2025, TaskUs announced its sale to a buyer group that already holds a majority of the company's voting power, with the buyout price set at $16.50 per share for public shareholders [3]. - The buyout is being pursued by Blackstone and co-founders Bryce Maddock and Jaspar Weir, who will continue their roles in the company post-acquisition [3][4]. Legal Investigation - Julie & Holleman LLP is investigating the buyout for potential legal claims, citing concerns over the deal's fairness and the low buyout price compared to the company's true value [1][4].

Amsterdam, 15 May 2025 - Brunel International N.V. (Brunel; BRNL), a global specialist delivering customised project and workforce solutions to drive sustainable industry transformations through technology and talent, today announced the voting results of the Annual General Meeting of Shareholders (AGM) of 15 May 2025. The AGM approved all voting items that were on the agenda. As a result, Mr. Frank van der Vloed was reappointed for four years as a member of the Supervisory Board for a term of four years an ...

NEW YORK, May 15, 2025 (GLOBE NEWSWIRE) -- EXL [NASDAQ: EXLS], a global data and AI company, has been named a Leader in the 2025 Gartner Magic Quadrant for Finance and Accounting (F&A) Business Process Outsourcing (BPO). The Gartner research report evaluated 16 F&A service providers according to a uniform set of criteria, placing companies into four Quadrants: Leaders, Visionaries, Niche Players and Challengers. Gartner defines Leaders as companies that “execute well against their current vision and are wel ...

Group 1 - The core viewpoint is that the outsourcing industry (BPO) is being fundamentally disrupted by AI, with predictions that many jobs will disappear by 2030, leading to a complete transformation of the industry [1][3][19] - The global outsourcing market is estimated to exceed $300 billion by 2024, with major companies like Cognizant, Infosys, and Wipro generating annual revenues between $10 billion and $20 billion [3][4] - Approximately 70% of the 9 million workers in the global BPO industry could be replaced by AI, particularly affecting regions like India and the Philippines [3][4][6] Group 2 - Companies like Klarna are transitioning from outsourcing to in-house customer service teams, citing AI's efficiency in handling customer inquiries, which has reduced response times by 82% and decreased repetitive questions by 25% [5][6] - AI startups are emerging in various sectors of the outsourcing industry, such as Decagon in customer service, HappyRobot in logistics, and Salient in debt collection, showcasing the potential for AI to enhance operational efficiency [7][9][10] - Decagon has signed contracts worth over $10 million and is in talks for a new funding round of $100 million, indicating strong market interest and growth potential [8] Group 3 - Traditional outsourcing giants like Wipro, Infosys, and Accenture are increasing their AI investments, with Wipro reporting a 140% increase in AI adoption in existing projects [16][17] - The shift towards AI poses challenges for these companies, as their existing business models, which rely on human labor and hourly billing, conflict with the product-oriented approach required for AI integration [17][19] - The competitive landscape of the outsourcing industry is changing, with technology becoming the primary driver of business processes, transforming customer service from a cost center to a valuable source of customer insights [20][21]

Company Performance - Hudson Global reported a quarterly loss of $0.46 per share, significantly worse than the Zacks Consensus Estimate of $0.06, representing an earnings surprise of -866.67% [1] - The company posted revenues of $31.87 million for the quarter ended March 2025, missing the Zacks Consensus Estimate by 1.50% and down from $33.89 million a year ago [2] - Over the last four quarters, Hudson Global has surpassed consensus EPS estimates two times and topped consensus revenue estimates just once [2] Stock Movement and Outlook - Hudson Global shares have declined approximately 23.3% since the beginning of the year, contrasting with the S&P 500's decline of -0.6% [3] - The company's earnings outlook is mixed, with current consensus EPS estimates at $0.17 on $34.38 million in revenues for the coming quarter and $0.74 on $138.9 million in revenues for the current fiscal year [7] Industry Context - The Outsourcing industry, to which Hudson Global belongs, is currently ranked in the top 9% of over 250 Zacks industries, indicating a favorable outlook compared to the bottom 50% [8]

Q1 2025 Earnings Call M a y 1 3 , 2 0 2 5 Forward-Looking Statements © 2024 Hudson RPO. All rights reserved. 2 Q1 2025: Consolidated Financial Results US$ in Millions, except EPS | | '+ / - (1) | | CC (2) | Q1 2025 | Q1 2024 | | --- | --- | --- | --- | --- | --- | | Revenue | - | 6.0% | | $31.9 | $33.9 | | | - | 3.3% | CC | | | | Adjusted net revenue | + | 0.4% | | $16.4 | $16.3 | | | + | 2.2% | CC | | | | SG&A(3)(4) | - | 4.5% | | $17.1 | $17.9 | | | - | 2.8% | CC | | | | Adjusted EBITDA(5) | + | 56.7% | | ...

Core Viewpoint - Julie & Holleman LLP is investigating the acquisition of TaskUs, Inc. by a buyer group that includes the company's three largest shareholders, raising concerns about conflicts of interest and the fairness of the deal price [1][4]. Company Overview - TaskUs, Inc. is a leading provider of outsourced digital services and next-generation customer experience to innovative companies [2]. - Wall Street analysts have set one-year stock price targets for TaskUs, averaging $18.50 per share, with a high target of $22 per share [2]. Acquisition Details - On May 9, 2025, TaskUs announced its sale to a buyer group that already controls a majority of the company's voting power, with Blackstone, Maddock, and Weir offering to buy out public shareholders for $16.50 per share [3]. - The law firm Julie & Holleman believes the buyout price is significantly below the company's true value [4]. Legal Concerns - Julie & Holleman LLP is pursuing potential legal claims based on the apparent unfairness of the acquisition deal, highlighting conflicts of interest as key insiders remain with the company while public shareholders are cashed out at a low price [4].