In a move to strengthen its product base and bring back its focus on technology innovations, German enterprise software maker SAP is reported to be working with investment bank Moelis & Company to sell its $1 billion corporate learning software business Litmos.
With the latest move, the company looks to streamline its operations and focus more on its cloud-based revenues. As per industry observers, the sale of California-based Litmos is expected to start in the coming weeks.
The sale will be part of an auction process primarily targeting tech-focused private equity funds in the United States and Europe, reported news agency Reuters.
SAP acquired Litmos as part of its $2.4 billion acquisition of US cloud software company Callidus in 2018, rebranding the platform SAP Litmos.
According to the company's website, it provides learning platforms to corporate clients to help them improve sales and customer service. The platform is utilised by more than 30 million people in 150 countries.
SAP CEO Christian Klein is conducting a portfolio review with the goal of shifting the company toward subscription-based services and generating cloud-based revenue.