Kenexa, a global provider of business solutions for HR, has entered into an agreement to acquire on-demand compensation software provider Salary.com for roughly $80m (£51.7m) during Q4 2010.

Kenexa expects to finance the deal through a combination of its cash balances and borrowings against a credit facility, recently put in place.

The agreement has been unanimously approved by the board of directors of both companies, while Salary.com’s board will recommend that the Salary.com stockholders tender their shares in the offer.