Employment Hero triples valuation to RM2.5b

by NUR HAZIQAH A MALEK / pic by TMR FILE

EMPLOYMENT Hero, an all-in-one human resource (HR), payroll and benefits platform has tripled its valuation to RM2.5 billion in six months after having raised a total of RM420 million in a Series E funding round.

“Supporting small and medium enterprises (SMEs) through this transitional period and helping them elevate their mission has fuelled our passion for growth.

“We’ve seen the positive impact that Employment Hero’s automated, simple and powerful solutions have had on businesses in vastly different markets and we’re committed to reaching more employers in the future,” said its CEO and co-founder Ben Thompson in a statement yesterday.

He added that the business is excited to support SMEs through the transitional period as the way of working keeps changing and due to the uptick of hybrid arrangements.

“This latest round of funding will enable us to bolster our brilliant team and accelerate our innovation timelines with the ultimate goal of simplifying employment for SMEs all around the world. We’re excited to broaden our reach with entry into new markets,” he said.

The funding round was led by US-based Insight Partners.

Insight Partners MD Rachel Geller said that it has been following the HR platform’s journey for four years.

“Its customer-centric solutions have been embraced globally by the SME community and we are looking forward to supporting them through this next phase of their expansion journey,” she said.

With the funding, Employment Hero plans to use its fresh funds to accelerate expansion efforts into the South-East Asian markets.

The company’s growth in South-East Asia tailed the first wave of its international rollout plan which started in Oct 2020 and saw the company launch localised versions of its signature people, payroll and benefits solution in Malaysia, Singapore, New Zealand and the UK.

Its foray into the markets included the development and sharing of hyper-local and timely resources and access to pre-built employment contracts and policies compliant with local employment laws.

The announcement comes in as the company reveals 113% year-on-year revenue growth and records RM44.1 billion in gross wages processed through the platform in the past 12 months.

It has also announced a brand refresh and new website after its research, in-line to make employment easier and more rewarding for everyone.