Global payroll co Deel raises $425m at $5.5b valuation

Alex Bouaziz Credit: Deel
Alex Bouaziz Credit: Deel

Deel allows companies to draw up contracts for employees in over 150 countries and pay staff and freelancers in local currency and according to local laws.

Global payroll solution company Deel today announced that it has completed a $425 million Series D financing round at a company valuation of $5.5 billion. "Globes" reported earlier this month that the company was set to raise money at a valuation that was more than quadruple its $1.25 billion valuation in April when it raised $156 million. This brings the total amount raised by the company to over $630 million.

The latest financing round was led by US-based Coatue, with the participation of Altimeter Capital, Andreessen Horowitz, the YC Continuity Fund, Spark Capital, Greenbay Ventures, and Neo.

Deel was founded in 2018 by CEO Alex Bouaziz, 28, a French Jew who immigrated to Israel, and chief revenue officer Shuo Wang. They met when studying for their masters degrees at MIT. In April, Deel had 120 employees including 20 in Israel but the company now says it has over 400 employees.

Deel has developed a platform that allows companies to draw up employment contracts for employees in over 150 countries and pay salaried staff and freelancers in local currency and according to local laws. Deel serves more than 4,500 customers worldwide from names like Coinbase, Intercom and Shopify.

Bouaziz said, "The way people work is fundamentally changing. And it’s never going back. We founded Deel because we didn’t want hiring or payments to prevent businesses from building the best global teams and finding the best global talent. We’re going to keep challenging the norms of how companies operate and continue building tools that shape the future of work."

Deel's fast rising value comes amid soaring demand by organizations and fast rising salaries for human resources. Last month Deel's Israeli rival Papaya Global raised $250 million at a company valuation of $3.7 billion, triple its valuation in March. Another rival is Remote, which raised $150 million in July at a company valuation of over $1 billion.

Published by Globes, Israel business news - en.globes.co.il - on October 18, 2021.

Copyright of Globes Publisher Itonut (1983) Ltd. 2021.

Alex Bouaziz Credit: Deel
Alex Bouaziz Credit: Deel
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