As we close a dystopian year in our chapters, the year somehow proved game-changing for the HR Tech space. As work from home became the norm, digitization and collaboration became the need of the hour with more and more organizations scrambling to get more HR Tech tools in place. The growing number of investments in the space is a validation of this.
As per Deloitte Consulting LLP, the HR technology marketplace is a $400 Bn market globally. Investor interest in this sector is steadily growing globally and in APAC as well. 2020 has been a good year for HR Tech and as organizations turn more towards digitization, investments in the sector are expected to grow.
Here’s a quick look at the top investments in the HR Tech and Work Tech space in APAC as well as globally this year.
HR Tech and Work Tech space in APAC
Employee medical benefits platform Mednefits said it has raised S$8 Mn (US$5.95 Mn) in a Series A round led by BLoyalty, the operator of digital engagement platform B Infinite. In addition to the capital infusion, B Infinite will be working with Mednefits to enhance and automate the medical benefits for its clients’ employees across Singapore and Malaysia, according to a statement.
Malaysia-based healthcare benefits management platform HealthMetrics secured US$5 million (RM20 million) in Series A funding. The round was led by Japan-based investment group ACA Investments, which has healthcare as one of its focus investment areas. The announcement indicated that HealthMetrics will use the funding to expand its regional footprint across Southeast Asia and introduce more healthcare models such as telemedicine, digital wellness, and preventive programs.
Asian employee engagement and performance software company EngageRocket has announced a S$3 million investment to strengthen its presence in Southeast Asia (SEA). The transaction was led by Qualgro, a regional VC based in Singapore. Existing investors SeedPlus, Found. Ventures and JobsCentral co-founder, Huang Shao-Ning, were among those who increased their investment into the company. This brings the total funding raised by the company to S$4.5M.
Headquartered in Singapore, success enablement platform, Tigerhall raised US$2 Mn funding in April led by Sequoia Capital India’s rapid scale-up program Surge. Other investors in this round include the XA Network (formerly known as Xoogler Angels), Taurus Ventures, and angel investors.
HR AI startup Pulsifi, which won the HR Tech PitchFest in October, announced that it has raised US$1.8 Mn in an angel funding round, bringing its total funding to US$4 Mn. The round brought in new investors Aaron Chen, founder of KVC group of companies, Kairous Capital, and Rajesh Lingappa, co-founder and former CTO of RedMart, to join the startup's existing investors. Pulsifi, which was founded in 2016 by Huang and Pete Yoong, uses a combination of people analytics and predictive AI to profile candidates and assess how well they would fit into an organization or role. The HR tech startup will use the funds to expand into Europe, where a number of its large multinational customers are headquartered.
Singapore-based Qualee Technology, which offers customizable employee on-boarding and engagement solutions for companies, has raised US$1 MN in funding from Tandem Technology Partners. Qualee shares that it will use the capital to enhance its product, recruiting, consulting, marketing, and support.
Talkpush, one of the participants of People Matters TechHR Startup Program 2019, raised capital from venture capital studio Latin Leap in April. The Hong Kong-based HR tech startup’s vision is to empower candidates by getting their voices heard; and delight recruiters with software that lets them talk directly with the right talent.
A subsidiary of Japanese recruitment firm Persol, Persol Asia Pacific Pte. Ltd. backed up HR technology startup Freecacy in May. However, the financial details of the investment remain unknown. Freecacy operates ‘freeC’, a platform that supports AI research in Southeast Asia and looks to develop services throughout the region, in areas where the company says fluid and flexible working styles have advanced from Japan. Through its strategic partnership with Persol Asia Pacific, Freecacy aims to replace AI recruitment in Southeast Asia by leveraging AI that has learned a mix of job seeker behavior history, résumé information, and agent selection criteria.
Top Investments in HR Tech and Work Tech space globally
Here’s a quick look at investments in the HR Tech space globally this year-right from RPA and automation tech firm UiPath’s $225 Mn round to upskilling platform Degreed’s $32 Mn funding to the most recent announcement of Salesforce revealing that they are acquiring workplace messaging tool Slack for a reported $27.7Bn.