Start-up: HR Path, French HR digitization giant, raises one of the biggest funds of the year

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HR Path has just raised the substantial sum of 500 million euros. Objective: continue its international expansion and strengthen its offering to meet the new challenges of the sector.

HR Path is present across the entire value chain

This is undoubtedly one of the most important operations of the year for a French company. For now, only Mistral AI, the champion of artificial intelligence (AI), is doing better. Accompanied by Société Générale Capital Partners, it is the French investment fund Ardan which completed this new financing, allowing it to acquire a minority share in HR Path.

Founded in 2001, the company has established itself today as a major player in the field of human resources (HR). It draws its strength from the variety of its operations; unlike the majority of the competition, HR Path is present across the entire value chain. In addition to providing advice and offering payroll outsourcing, it ensures the integration of the main software of its publishing partners, such as Oracle, SAP or Workday. The firm promises tailor-made solutions to meet the specific needs of its clients.

HR Path has grown through a series of acquisitions, 38 in around twenty countries. It currently has 3,000 clients, 1,800 employees, and recorded a turnover of 215 million euros in 2023. An amount that it intends to double, or even triple, by 2029.

Teleworking, AI… The sector is facing new challenges

This requires even greater international conquest. Today, the company generates 40% of its revenues abroad. It wants to increase this figure by strengthening its activities in the United States, Canada and Australia. Europe is also in its sights, with potential new acquisitions in the United Kingdom or Germany.

HR Path's ambitions reflect the health of the sector. Many companies have recently embarked on the digitalization of their HR activities, requiring various solutions provided by the group. The HR management software market is growing at an annual rate of 8 to 10%. In addition, new challenges are facing the sector. Teleworking, for example, is increasingly requested by younger generations.

The rise of AI is also worth noting. « Companies are facing talent shortages and will have to train their employees whose jobs will evolve with artificial intelligence. They will need increasingly sophisticated software “, comments Marie Arnaud-Battandier, general director of Ardian Expansion, to Échos. There is no doubt that HR Path intends to capitalize on these new trends.

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