“HR Startup Deel Secures $12 Billion in Acquisition of Zavvy to Enhance Consolidation Strategy”
Consolidation is afoot in the world of HR services, with larger players snapping up interesting, smaller startups en route to more robust unit economics and providing one-stop shops for customers looking to cut down on suppliers.
In the latest development, Deel — the $12 billion HR business out of Paris — is scooping up Zavvy, a Munich-based AI-based “people development” startup building tools for personalized career progression, training, and performance management.
Finally, Deel will also make its existing Deel HR tool, which was free for organizations of up to 200 users, now “free” for existing customers regardless of their size.
Originally Deel approached Zavvy with a partnership proposal before making an offer to buy it outright.
By Zavvy’s and Deel’s accounts, the former company has not found it hard to build its business in a tighter market.
