Humi Acquired by Australian HR Software Company Employment Hero
Deal News | Jan 09, 2025 | Kensington Capital Partners Lt
Toronto's HR software company Humi has been acquired by Australian counterpart Employment Hero for an estimated $155 million CAD. The deal positions Humi as Employment Hero's Canadian hub while maintaining its branding, with plans to grow their presence in the Canadian market. Humi's co-founder and CEO Kevin Kliman emphasized the strategic benefits of the acquisition as akin to a Series C funding round, promising mentorship and growth potential under Employment Hero's five-year head start in the industry. Despite Employment Hero's recent allegations of a toxic workplace culture, Kliman defended the cultural fit and praised the company's approach. Employment Hero has been involved in controversy, with its CEO Ben Thompson facing backlash over inappropriate comments and reports of a negative work environment.
Sectors
- Human Resources Software
- Technology
Geography
- Canada – Humi is a Toronto-based company, establishing the Canadian geography for the deal's impact.
- Australia – Employment Hero is based in Australia, and its expansion plans into Canada mark its geographical involvement.
Industry
- Human Resources Software – The article focuses on companies involved in HR solutions, highlighting products like payroll, benefits management, and employee data storage.
- Technology – Both companies involved provide SaaS technology solutions for managing HR activities, indicating their presence in the broader technology sector.
Financials
- 155 million CAD – The estimated acquisition cost of Humi by Employment Hero.
- 15 million CAD – The amount raised in Humi's Series A funding round led by Tribe Capital in 2020.
- 31 million CAD – The amount raised in Humi's Series B funding round led by Kensington Capital Partners in 2022.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Humi | Target Company | Company | A Canadian HR software company providing cloud-based solutions for managing employee data. |
| Employment Hero | Bidding Company | Company | An Australian HR software company looking to expand its global presence. |
| Kensington Capital Partners Ltd. | Former PE Backer of Humi | Company | A private equity firm that led Humi's Series B funding round. |
| Kevin Kliman | CEO and Co-founder of Humi | Person | Leads Humi and plays a critical role in its strategic direction post-acquisition. |
| David Tong | Co-founder and CPTO of Employment Hero | Person | Part of the executive leadership at Employment Hero. |
| Ben Thompson | CEO of Employment Hero | Person | Leading Employment Hero but currently facing controversy over workplace allegations. |