IBM Buys HR Software Company for $1.3 Billion

Kenexa a fast-growing software and consulting service.

International Business Machines Corp. agreed to acquire Kenexa Corp. for approximately $1.3 billion in cash as the technology giant continues to beef up its arsenal of online software applications.

In buying Kenexa, IBM gains an unprofitable yet fast-growing company that is one of the leading suppliers of human resources software and consulting services that helps about 9,000 customers to recruit, retain and develop their employees.