Goldman Sachs Alternatives has acquired a majority stake in PeopleStrong. It is one of Asia’s leading human capital management (HCM) platforms. The Goldman Sachs-PeopleStrong deal is valued at around USD 130 million (~INR 1,200 crore) and marks a strategic exit for Multiples Private Equity which had a majority stake in the HR tech firm since 2017.
A Big Deal in HR SaaS
This is the largest deal in India’s HR technology space and shows Goldman Sachs’ continued faith in India’s digital ecosystem. Multiples PE, led by Renuka Ramnath, had invested INR 400 crore in PeopleStrong eight years ago. The exit now gives them nearly three times return, which is a testament to the company’s growth and execution.
According to some industry reports, Goldman Sachs acquired Multiples PE’s 84.3% stake and also bought a portion of the ESOPs from current and former employees. The deal was four to five months of negotiations between the two investment firms.
From Pioneering to Global Leadership
Founded in 2005 by Pankaj Bansal and the late Shelly Singh, PeopleStrong was India’s first HR shared services firm. Over the last two decades, the company has evolved into a comprehensive, AI-powered HCM platform that now serves more than 500 large enterprises and over 2 million users across India, Southeast Asia, Australia, New Zealand and Middle East.
PeopleStrong’s suite of offerings includes applicant tracking systems (ATS), payroll management, employee experience, performance management and talent lifecycle services. It caters to various industries like BFSI, retail, aviation, healthcare and manufacturing. Its client list is a who’s who of Indian and regional corporates—Aditya Birla Group, Mahindra, TATA, Kotak Mahindra Bank, Air India, Cipla, among others.
Financial Performance and Growth
FY24 was a turnaround year for PeopleStrong. The company reported a profit of INR 57 crore, a big turnaround from a loss of INR 84 crore in FY23. Revenue was flat at INR 274.5 crore but this was achieved through significant cost optimization and operational efficiency.
The company also divested its remote proctoring and assessment business, Wheebox, to Educational Testing Service (ETS) in 2024. This helped PeopleStrong focus on its core SaaS offerings and AI led innovation.
AI Advantage: Innovation at the Core
A key factor in PeopleStrong’s growth is its deep investment in AI and automation. In 2024, the company launched MAAX (Multi-Agent Architecture-led Experience), Asia’s first agentic AI architecture for HR. This cutting edge platform is designed to deliver a collaborative, intuitive experience across the employee lifecycle from onboarding to exit.
Earlier innovations like the AI powered HR bot Jinie, the HR App Store and the performance analytics platform Qilo had already established PeopleStrong as a product led company with strong R&D credentials.
The recent brand refresh and the launch of OneXP, the unified employee experience platform further reinforced PeopleStrong as a consumer grade SaaS company with enterprise grade capabilities.
Strategic Fit for Goldman Sachs
Sandeep Chaudhary, CEO of PeopleStrong said, “We are one of the few EBITDA positive SaaS companies with a leading market position. Joining forces with Goldman Sachs is an exciting new chapter. Their global expertise in SaaS and AI will accelerate our growth journey through continued innovation and operational excellence.”
Goldman Sachs Alternatives, which has invested over USD 75 billion globally in private equity since 1986, sees this as part of its strategic focus on digital transformation across sectors. The firm has already invested over USD 8.5 billion in India since 2006.
Rajat Sood, Managing Director at Goldman Sachs said, “The company sits at the intersection of talent and technology—delivering measurable value at scale. We will support the management team in their next stage of growth.”
SaaS Momentum in India
The deal is also a part of the growing global interest in Indian SaaS companies, especially in the HR tech space. Just a few months ago, Everstone Capital acquired 80% of Wingify, another Indian SaaS player for USD 200 million (~INR 1,713 crore).
As India becomes a SaaS innovation hub, deals like these are both a validation and a trigger for more investment. PeopleStrong’s journey from a bootstrapped HR services company to a global SaaS company is a testament to what Indian startups can achieve when backed by great founders and smart capital.
Looking Ahead
With Goldman Sachs’ capital and expertise, PeopleStrong aims to scale from 2 million to 10 million users globally over the next five years. The company is now better positioned than ever to redefine the future of work—merging AI, user experience, and scalable cloud platforms to deliver intelligent, adaptive, and seamless HR solutions.
As the future of work continues to be reimagined, PeopleStrong’s next chapter—powered by one of the world’s largest investment firms—promises to be one to watch. For more details related to IPO GMP, SEBI IPO Approval, and Live Subscription stay tuned to IPO Central.