Human resources software company Personio said on Monday it had raised $125 million from investors at a valuation of $1.7 billion, becoming the second German technology startup to claim a ‘unicorn’ valuation already this year.
Personio follows freight tech startup Sennder in achieving a valuation of more than $1 billion. The Munich-based company, which serves small- and mid-sized companies, last raised funds at a valuation of $500 million just 12 months ago.
European software startups are drawing abundant backing from venture capital funds including Index Ventures, the lead investor in Personio’s Series D funding round, despite broader business headwinds from the coronavirus pandemic.
“While the past year has proven difficult for many industries and businesses, it has at the same time accelerated the digitization of small and mid-sized businesses,” said Hanno Renner, Personio’s co-founder and CEO.
The company’s all-in-one HR platform, which covers human resources, recruiting and payroll, is priced on a per-employee basis, making it possible for small companies to avoid up-front costs and to pay as they grow.
Revenues doubled last year and Personio now serves 3,000 companies. In addition to its core German-speaking markets, the company has expanded into Spain, Britain, the Nordic region and Benelux and will enter France and Italy this year.
Existing investors Accel, Lightspeed Venture Partners, Northzone, Global Founders Capital and Picus participated in the funding round. Meritech invested in Personio for the first time.
(Except for the headline, this story has not been edited by TTE staff and is published from a syndicated feed.)
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