[Global] Tech unicorn Deel enters public offer to acquire PayGroup

Deel - the San Francisco-based workforce compliance and payroll tech unicorn - is capitalising on the shift to remote working in the APAC region by making a $119 million offer for ASX-listed small-cap PayGroup, Digital Nation reports.

Deel has entered into a public offer to acquire Australian-based payroll company PayGroup to enable the creation of a global payroll platform. The deal approval process will reportedly take about three months to complete.

PayGroup has close to 400 team members across Asia who will be joining Deel. It processes roughly $11 billion in payroll per year for over 2,800 businesses.

According to Deel, PayGroup’s payroll and human capital management (HCM) expertise, combined with an enterprise client base spanning the corporate, workforce management, and retail sectors, will extend Deel’s payroll and compliance capabilities to further industries and customers across APAC in particular.

To meet the demands of a workforce that is increasingly widespread and remote, Deel is working on a payroll offering that allows businesses to consolidate their local entity payroll solutions into one easy-to-use dashboard for both contractors and employees.

Philippe Bouaziz - CFO at Deel - said, “Together we will build the first truly global solution in the payroll industry, giving businesses around the world the ability to hire, pay, and manage the best talent, no matter where they’re located.

“PayGroup’s strong presence in countries like Australia, India, Singapore, and Japan will expand our customer base and reinforce our leadership in the global payroll space.”

Mark Samlal - managing director of PayGroup - said, "We are delighted by this proposed transaction with Deel. The value offered is a testament to the strength of the PayGroup business we have grown over the last four years since listing on the ASX in 2018. We have built a high-quality business with strong, recurring revenues from blue-chip customers across Asia Pacific and beyond.

"We are immensely proud of the achievements of the PayGroup team and we look forward to continuing to build this together as part of Deel, one of the world's fastest-growing and leading global compliance and payroll solution companies."

Founded in 2019, Deel enables companies to compliantly hire independent contractors and full-time employees in over 150 markets, within minutes.

Deel said it makes remote work accessible to all companies, helping businesses easily enter new markets and hire talent wherever they are - while at the same time managing teams, contractors, and payroll in multiple markets - all on one centralised platform.

Its Australian customers include SafetyCulture, Linktree, Quantium, Lexer, Zoomo and Lyre’s. 

Deel was reportedly valued at US$5.5 billion at its Series D fundraising round. it hit the US$100m ARR milestone in April 2022.

Source: Digital Nation

(LInks via original reporting)

Deel - the San Francisco-based workforce compliance and payroll tech unicorn - is capitalising on the shift to remote working in the APAC region by making a $119 million offer for ASX-listed small-cap PayGroup, Digital Nation reports.

Deel has entered into a public offer to acquire Australian-based payroll company PayGroup to enable the creation of a global payroll platform. The deal approval process will reportedly take about three months to complete.

PayGroup has close to 400 team members across Asia who will be joining Deel. It processes roughly $11 billion in payroll per year for over 2,800 businesses.

According to Deel, PayGroup’s payroll and human capital management (HCM) expertise, combined with an enterprise client base spanning the corporate, workforce management, and retail sectors, will extend Deel’s payroll and compliance capabilities to further industries and customers across APAC in particular.

To meet the demands of a workforce that is increasingly widespread and remote, Deel is working on a payroll offering that allows businesses to consolidate their local entity payroll solutions into one easy-to-use dashboard for both contractors and employees.

Philippe Bouaziz - CFO at Deel - said, “Together we will build the first truly global solution in the payroll industry, giving businesses around the world the ability to hire, pay, and manage the best talent, no matter where they’re located.

“PayGroup’s strong presence in countries like Australia, India, Singapore, and Japan will expand our customer base and reinforce our leadership in the global payroll space.”

Mark Samlal - managing director of PayGroup - said, "We are delighted by this proposed transaction with Deel. The value offered is a testament to the strength of the PayGroup business we have grown over the last four years since listing on the ASX in 2018. We have built a high-quality business with strong, recurring revenues from blue-chip customers across Asia Pacific and beyond.

"We are immensely proud of the achievements of the PayGroup team and we look forward to continuing to build this together as part of Deel, one of the world's fastest-growing and leading global compliance and payroll solution companies."

Founded in 2019, Deel enables companies to compliantly hire independent contractors and full-time employees in over 150 markets, within minutes.

Deel said it makes remote work accessible to all companies, helping businesses easily enter new markets and hire talent wherever they are - while at the same time managing teams, contractors, and payroll in multiple markets - all on one centralised platform.

Its Australian customers include SafetyCulture, Linktree, Quantium, Lexer, Zoomo and Lyre’s. 

Deel was reportedly valued at US$5.5 billion at its Series D fundraising round. it hit the US$100m ARR milestone in April 2022.

Source: Digital Nation

(LInks via original reporting)