Deel has finalized its $AU 121 million acquisition of PayGroup Limited, an APAC-based payroll, and human capital management firm. PayGroup is currently a subsidiary of Deel, a private payroll corporation located in San Francisco, and has been delisted from the Australian Securities Exchange.
The completion of the acquisition, which began in July 2022, establishes Deel as a true leader in the global payroll and human capital management (HCM) space. It contributes to Deel’s mission of assisting millions of people in finding jobs with the best companies in the world.
PayGroup has a substantial presence in Australia, New Zealand, India, the Philippines, Singapore, Malaysia, and Japan, processing around $AU 12 billion in payroll for over 3,000 firms each year. This year, the firm has been gradually developing, with an annual recurring sales target of $AU 39 million, and it is EBITDA positive.
PayGroup’s HCM and in-house payroll software solutions serve corporate clients from staffing and labor management firms to retail and franchise clients such as Nike and Subway. Because of its unique presence in APAC, the firm has formed solid connections with some of the world’s leading global payroll organizations to power their systems.
Deel and PayGroup have been actively working on their integration, and with payroll coverage in more than 90 countries, Deel and PayGroup now provide a market-leading solution. They plan to release a new combined version of their software solution in H1 2023, combining PayGroup’s 15+ years of experience delivering HR and payroll software solutions with Deel’s simple, customer-centric platform. PayGroup’s entire team has joined Deel.
