HR unicorn HiBob acquiring British payroll platform Pento for $40 million
HR unicorn HiBob acquiring British payroll platform Pento for $40 million
Pento focuses on real-time payroll systems and boasts a client base of over 400 businesses. HiBob raised $150 million last October at a $2.7 billion valuation
Israeli company HiBob, which develops a platform for HR management, is acquiring the British company Pento, which specializes in cloud-based payroll systems. The companies did not disclose the exact value of the purchase, but it is estimated to be around $40 million in shares and cash.
Pento focuses on real-time payroll systems and boasts a client base of over 400 businesses, many of which are already utilizing HiBob's platform. HiBob intends to extend this service globally in the near future.
“These are challenging times for the State of Israel, with nearly four months of ongoing warfare. Nevertheless, we remain steadfast in our commitment to serving our customers in Israel and worldwide, and to advancing our endeavors,” Ronni Zehavi, CEO and founder of HiBob told Calcalist. “The acquisition of Pento at this juncture underscores the resilience of the Israeli economy, particularly in the high-tech sector.
Zehavi further elaborated, stating, "Payroll systems and human capital management systems are closely intertwined, offering strong synergistic benefits. Our ultimate objective is to provide an 'all-inclusive' solution, where all facets of people management are seamlessly integrated into a single platform. The deeper the integration, the more enhanced the user experience, thereby boosting employee productivity."
HiBob raised $150 million in its most recent funding round last October at a company valuation of $2.7 billion. Established in 2015, HiBob has raised approximately $150 million annually over the past three years, accumulating a total of around $574 million in funding since its inception. HiBob, which employs 800 people, half of them in Israel, serves 3,500 customers across the globe, with offices in various international locations. Organizations use HiBob’s Bob platform to accelerate hiring, retain talent, and elevate employee engagement.
"Traditional payroll processes are antiquated, time-consuming, error-prone, and difficult to manage,” Zehavi added. “In the modern age, companies require HR and payroll teams that focus on people, not repetitive manual work. This acquisition provides thousands of our customers with more flexibility and ease in the way they manage their most valuable asset - their people. Pento's modern approach, together with talented founders and their proven track record, indicates that they will be a strong complement to our business. We are excited to welcome their team to HiBob."
