US-based paytech Payoneer has acquired Skuad, a global workforce and payroll management start-up based in Singapore, for $61 million in cash.
Payoneer says the deal, carried out on 5 August, also includes “up to an additional $20 million of future payments in cash and equity” that are contingent upon Skuad achieving “certain performance and tenure milestones”.
Launched in 2019, the Skuad platform seeks to simplify hiring, onboarding, payroll and talent management processes for SMBs. It currently operates in 160 countries worldwide with support for 100 currencies.
Payoneer now intends to integrate Skuad’s payroll and contract management offerings into its own solutions, which currently include online money transfer and cross-border payment services for businesses and entrepreneurs across 190 countries.
The company reports that 25% of its B2B customers are currently requesting “enhanced workforce management”, including payroll, employer of record and contractor management capabilities, giving rise to “significant cross-sell potential” with its latest acquisition.
Payoneer CEO John Caplan says the deal will “accelerate our evolution and B2B momentum”, adding that the addition of Skuad’s technology and team will help create “a powerful platform that will enhance our customers’ ability to expand their teams worldwide and grow globally”.
The paytech’s latest financial results, made up to 30 June, reveal a promising 16% rise in revenues to $239.5 million from last year.
