TriNet Announces Sale of its Subsidiary Clarus R+D to Arvo Tech

Rhea-AI Summary

TriNet (NYSE: TNET) has completed the sale of its subsidiary, TriNet Clarus R+D, to Arvo Tech. The transaction, announced on March 6, 2025, transfers Clarus R+D's tax team, service model, and proprietary R&D tax credit software for SMBs to Arvo Tech's portfolio.

This strategic divestment aligns with TriNet's goal to concentrate on high-value HR Solutions in the SMB market. To ensure service continuity, TriNet customers will maintain access to R&D tax credit solutions through a five-year agreement with Arvo Tech. The financial terms of the deal were not disclosed.

The acquisition enhances Arvo Tech's market position in tax credit solutions, while allowing the Clarus business to operate within an organization specifically focused on tax solutions and credit portfolio management.

Positive

• Strategic focus optimization on core HR solutions
• 5-year service agreement maintains revenue stream
• Customer service continuity preserved

Negative

• Loss of diversification in service offerings
• Reduction in tax solutions revenue stream after 5-year agreement expires

DUBLIN, Calif. and COLUMBUS, Ohio, March 6, 2025 /PRNewswire/ -- TriNet (NYSE: TNET), a leading provider of comprehensive human resources solutions for small and medium-size businesses (SMBs), today announced the completion of the sale of its wholly owned subsidiary, TriNet Clarus R+D to Arvo Tech, creator of the tax strategy solution for small businesses. Effective today, TriNet Clarus R+D's expert tax team, service model, and proprietary software for evaluating and preparing R&D tax credits for SMB customers are now a part of Arvo Tech. Terms of the deal were not disclosed.

TriNet is divesting this business as part of its strategy to narrow its focus to high-value HR Solutions in the SMB market. Recognizing the dynamic nature of tax credits and the significant opportunities they present for SMBs, this move will allow the Clarus business to thrive within an organization dedicated to tax solutions, including managing a tax credit portfolio. 

The acquisition strengthens Arvo Tech's position in the marketplace as a leader in delivering value to customers through tax credit programs, using technology to increase access for more taxpayers. "Acquiring TriNet Clarus R+D accelerates our mission of providing tax strategy solutions for SMBs," Arvo Tech President and Co-Founder, Terracina Maxwell, said. "We're celebrating this huge value-add for our clients." 

TriNet Executive Vice President, Strategy, Products and Transformation, Jay Venkat, said, "We are proud of what we have accomplished together, and the tax credit solutions provided to our SMB customers. We believe the Clarus team will have the opportunity to grow and thrive in new and exciting ways while continuing to provide outstanding tax solutions to SMBs." 

As part of the transaction and to ensure a seamless transition, TriNet customers will continue to have access to R&D tax credit solutions through a five-year agreement with Arvo Tech.

About TriNet
TriNet (NYSE: TNET) provides small and medium-size businesses (SMBs) with full-service industry-specific HR solutions, providing both professional employer organization (PEO) and human resources information system (HRIS) services. TriNet offers access to human capital expertise, benefits, risk mitigation, compliance, and payroll services, all enabled by industry-leading technology. TriNet's suite of products also includes services and software-based solutions to help streamline workflows by connecting HR, benefits, employee engagement, payroll and time & attendance. Rooted in more than 30 years of supporting entrepreneurs and adapting to the ever-changing modern workplace, TriNet empowers SMBs to focus on what matters most—growing their business and enabling their people. For more information, visit TriNet.com or follow us on LinkedIn, Instagram and Facebook.  

About Arvo Tech 
Arvo Tech is the creator of the tax strategy solution that helps small businesses make confident financial decisions. Founded by tax experts and backed by proprietary technology, Arvo is the only holistic approach that brings together the ability to develop and document a tax strategy with tax credit management. By delivering actionable insights and simplifying tax processes, Arvo Tech saves companies time and money – while helping them maximize their financial future. To learn more, visit https://arvotech.com/.

Investors:	Media:
Alex Bauer	Renee Brotherton/Josh Gross
TriNet	TriNet
Alex.Bauer@TriNet.com	Renee.Brotherton@TriNet.com
	Josh.Gross@TriNet.com

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SOURCE TriNet Group, Inc.

FAQ

What are the terms of TriNet's (TNET) sale of Clarus R+D to Arvo Tech?

The financial terms of the sale were not disclosed, though it includes a five-year agreement ensuring continued R&D tax credit solutions access for TriNet customers.

How will the Clarus R+D sale affect existing TriNet (TNET) customers?

Existing TriNet customers will maintain access to R&D tax credit solutions through a five-year agreement with Arvo Tech, ensuring service continuity.

What assets are included in TriNet's (TNET) Clarus R+D sale to Arvo Tech?

The sale includes Clarus R+D's expert tax team, service model, and proprietary software for evaluating and preparing R&D tax credits for SMB customers.

Why did TriNet (TNET) decide to sell Clarus R+D in March 2025?

TriNet is divesting Clarus R+D to narrow its focus on high-value HR Solutions in the SMB market, allowing the Clarus business to thrive within a tax-focused organization.