Leading provider of Learning Management (LMS), Talent Management, Performance Management, and Cloud Collaboration Software Solutions


Saba Software is a leading provider of cloud-based talent management software, which enables human resources departments to effectively manage all aspects of acquiring, developing, and retaining their talent through a single pane of glass. The software provides tools to manage all functions from “hire to fire” such as recruiting, training, reviews and performance management, compensation planning, and succession planning. Saba started in 1997 as a pioneer in learning management (i.e. training) software and later updated its product offering to be an HR suite that covers the entire employee lifecycle. Saba’s customer list includes some of the largest Oil and Gas companies, Banks, and Automakers. Saba’s major competitors are SAP (SuccessFactors), Oracle, Cornerstone On-Demand, SumTotal, and IBM (Kenexa).

Insight & Approach

In 2013, Saba approached Vector Capital since the company needed liquidity in order to complete an accounting restatement. This restatement only concerned the timing of revenue recognition and did not affect cumulative revenue or cash flow. To help fund uncertain costs of the restatement, Saba needed to raise more capital, and Vector Capital’s Credit Strategy provided $40 million in debt financing.

In March 2015, Saba, which was publicly listed at the time, partnered with Vector Capital in a take-private transaction in order to remove the overhang of the accounting restatement and focus on accelerating the growth of its business. As a result of Vector’s credit investment in 2013, Saba knew the Vector team well and chose the firm as its partner due to Vector’s expertise in resolving complicated regulatory issues and accelerating growth in software businesses.

Vector Value Add

Since the take-private, Vector has been working closely with Saba’s management team to develop and execute a long-term strategic growth plan focused on accelerating the growth of Saba’s revamped talent management suite. Vector has also been working to quickly resolve Saba’s accounting restatement process and pursue strategic acquisitions within the talent management space. In May 2017, Saba acquired Halogen Software (TSX:HGN), a leading provider of cloud-based performance management solutions, for USD $164 million. The acquisition of Halogen will enable Saba to accelerate expansion from learning into the performance subsector of talent management and enhances Saba’s offering and go-to-market strategy in the mid-market segment.


Vector sold Saba Software to Cornerstone OnDemand in April 2020.