Talentsoft Completes $50 Million Funding Round to Accelerate Growth
Future unicorn confirms its position as the European leader in HR Tech.
Talentsoft, the European leader in learning and human capital management software, today announced that it has closed a funding round of $50 million. Francisco Partners leads the new investment, alongside existing investors Bpifrance and Goldman Sachs who are strengthening their capital.
As part of today’s announcement, Talentsoft CEO Jean-Stéphane Arcis also shared insight into the company’s ambition in the European HR Tech market with a strategic focus on three key priorities:
Acceleration of the company’s international development.
Investment in HR data management and employee experience innovations.
Pivot towards a platform open to external applications.
$50 Million to Strengthen Position as the European Leader in HR Tech
The total funding round announced by Talentsoft is $50 million and ranks among the ten largest funding rounds in Europe in 2018 for enterprise software. The entire investment will be used to accelerate the company’s continued growth through innovation and international market expansion, reinforcing the company’s position as the European leader in HR Tech.
Talentsoft’s strategic direction is now based on three pillars:
Acceleration of the company’s international development: Mastering talent management issues and best practices for international groups, the Talentsoft solution is now used in more than 130 countries and available in 27 languages. The company intends to capitalize on this expertise to support its large customers in their global deployments.
Innovation focused on HR data management and employee experience: As the first HR Tech Lab in Europe, Talentsoft will leverage hundreds of developers to transform the work experience of millions of employees, as well as to strengthen Talentsoft HUB, the company’s core HR offer.
Pivot towards a platform open to external applications: Jean-Stéphane Arcis affirms the strategy to make Talentsoft the leading HR Marketplace in Europe. The company will thus pivot from a SaaS model to an iPaaS model (Integrated Platform as a Service). Technology partners will now have the opportunity to integrate new services on a continuous basis, in order to meet customers’ expectations as closely as possible.
“This funding round marks a new phase in the history of Talentsoft, and we are proud to be backed by leading venture capital firms. Our existing partners, Bpifrance and Goldman Sachs, and new investor Francisco Partners, have shown strong confidence in what we are doing. We aim to go even further by becoming the first HR Tech platform in Europe with our new iPaaS program, which will make Talentsoft the number one destination for market innovations in HR.” explains Jean-Stéphane Arcis, CEO of Talentsoft.
The rise of a digital champion in Europe
Talentsoft is a European success story: the company was co-founded in 2007 by three entrepreneurs (Jean-Stéphane Arcis, Alexandre Pachulski and Joël Bentolila) and has rapidly grown since – +33% in 2018. Today, the company employs 600 employees with customers in more than 130 countries in 27 languages. Revenues will reach $100M in a near future, a first for an Enterprise SaaS company in Europe.
Talentsoft is focused on optimizing the employee experience while taking into account the cultural, linguistic and regulatory specificities of HR management in Europe. As a result, Talentsoft represents a strong alternative for organizations for whom managing employee data is strategic.
Among Talentsoft’s 2000 clients are large organizations, including EDF, Vinci, Lacoste, MaxMara, Toyota Europe, ST Microelectronics, Deutsche Bahn, Dorchester Collection hotels and National Bank of Belgium. These benchmark players trust Talentsoft to roll out its solution globally to support their HR transformation. Talentsoft’s solution is based on five pillars: recruitment, performance and talent reviews, compensation, learning and core HR.
In 2018, Talentsoft received numerous recognitions:
The company was awarded the Future Unicorn Trophy in March 2018 by Euronext and Roland Berger.
The company was also recognized as a ‘Visionary’ in Gartner’s Magic Quadrant of Talent Management Software for the fifth year in a row and has been rewarded for a higher than average customer satisfaction compared to its competitors.
Key Talentsoft figures
Founded in France in 2007
9 million users in more than 130 countries
33% growth in 2018
2000 enterprise clients, including 200 new ones in 2018
About Francisco Partners
Francisco Partners is a leading global private equity firm that specializes in investments in technology and technology-enabled businesses. Since its launch over 18 years ago, Francisco Partners has raised over $14 billion in committed capital and invested in more than 200 technology companies, making it one of the most active and longstanding investors in the technology industry. The firm invests in opportunities where its deep sectoral knowledge and operational expertise can help companies realize their full potential. For more information on Francisco Partners, please visit http://www.franciscopartners.com
Bpifrance is the French national investment bank: it finances businesses – at every stage of their development – through loans, guarantees, equity investments and export insurances. Bpifrance also provides extrafinancial services (training, consultancy.). to help entrepreneurs meet their challenges (innovation, export…). For more information, please visit:www.bpifrance.fr and presse.bpifrance.fr . Follow us on Twitter: @Bpifrance – @BpifrancePresse
About Goldman Sachs Merchant Banking Division
The Goldman Sachs Merchant Banking Division is the primary center for Goldman Sachs’ long term principal investing activity, and Goldman Sachs has operated this business as an integral part of the firm for more than 25 years. The group invests in equity and credit across corporate strategies and has raised capital to invest across a number of geographies and industries since 1986. With nine offices in seven countries around the world, the Goldman Sachs Merchant Banking Division is one of the largest managers of private capital globally, offering deep expertise and long-standing relationships with companies, investors, entrepreneurs and financial intermediaries around the globe. Further information on Goldman Sachs can be found on the website: www.goldmansachs.com