Employee communications and experience companies SocialChorus and Dynamic Signal have entered into a definitive merger agreement. The companies said their combination will accelerate the move away from destination site delivery models to a more orchestrated digital employee experience.
“The digital employee experience of an organization is not a destination, it’s an expectation and experience that meets the needs of a distributed and diverse workforce,” said SocialChorus CEO Gary Nakamura. “The combination of SocialChorus and Dynamic Signal presents a huge opportunity for growth and innovation on the journey to give customers what they need to create an unparalleled digital employee experience.”.@SocialChorus, @Dynamic_Signal will merge to accelerate move toward a more "orchestrated" digital employee experience. #HR #HRTech Click To Tweet
In a blog post, SocialChorus founder and Chief Strategy Officer Nicole Alvino indicated the Covid-19 pandemic had significantly impacted the environment in which the companies operate. “As I’ve spoken to CEOs across all industries in the past year, the focus has shifted to the importance of connecting authentically and meeting every type of worker where they are,” she said.
Plans for the Future
SocialChorus and Dynamic Signal will join under the leadership of Nakamura, who’ll work with a management team that includes executives from both companies. Three members of Dynamic Signal’s board of directors, including CEO Eric Brown, will join the new company’s board.
Terms of the agreement weren’t disclosed, but the businesses said Sumeru Equity Partners, or SEP, will make a “significant” new investment in SocialChorus and fund the combination. In addition, senior management and existing investors of both companies will participate in the transaction.
After closing, the combined organization plans to scale rapidly, adding resources in product development and customer service. The new company will continue to support solutions across both platforms, serving more than 500 customers and reaching over 15 million employees.
Last year, SocialChorus expanded its capabilities and repositioned itself as a tool for organizational change rather than a purely internal communications solution. At the time, the company said workplace dynamics were shifting as employers and employees adapted to the changes caused by Covid-19. “We’ve re-imagined how organizations can more effectively communicate with their distributed workforce resulting in new capabilities for leaders, communicators and employees,” it said.