Global payroll and HR company, Deel is acquiring African-based payroll and HR company, PaySpace for an undisclosed amount, as it achieves $500 million in annual recurring revenue (ARR) within five years of founding.
PaySpace has more than 20 years of payroll technology experience, providing payroll engines and HR services in 44 countries across Europe, Latin America, Middle East, and Africa for more than 14,000 customers including multinationals across various industries such as Heineken, Coca-Cola Beverages and Puma Sports.
By acquiring PaySpace, Deel will become the first global payroll and Employer of Record (EOR) with its own full-stack payroll engine localised in 50 countries and integrated into its offering. Deel can give its customers a simple and single interface to manage global teams for greater efficiency and control, faster payroll cycles, more localised compliance insights, plus the ability to make changes to payroll at any time.
Deel co-founder and CEO, Alex Bouaziz said, “Global payroll is hard to do and critical to get right. As a company, you want assurances you can pay your teams on time, compliantly, anywhere in the world.
“PaySpace’s single-platform payroll expertise and breadth of coverage, particularly in Africa and the Middle East, combined with PayGroup’s presence in APAC, will give Deel customers the reach they need to grow their businesses globally. Our long-term vision is to be the most comprehensive payroll system in the world.”
This news follows Deel’s acquisition of leading APAC payroll provider, PayGroup. Deel now owns the full HR stack – entities, local teams (legal, HR, payroll), and local payroll engines – across six continents. Its four-year ambition is to serve 100 countries with native payroll engines, and this acquisition is a significant step toward that goal.
Deel has recently signed on a raft of new Australian customers including Kmart, University of Queensland, MUJI, Leonardo.AI, Airwallex and Airtasker.