Immedis Acquisition: Key Details, Impact, and What Comes Next

UKG's acquisition of Immedis marks a significant milestone in the global Human Capital Management (HCM) industry. By integrating Immedis' advanced payroll technology, UKG aims to enhance its multi-country payroll capabilities, offering a unified and intelligent payroll experience across over 160 countries. This strategic move positions UKG as a leader in the global payroll market, addressing persistent challenges in payroll and compliance.

What Is Immedis?

Founded in 2016, Immedis specializes in global payroll solutions, offering services that streamline payroll processes for multinational enterprises. Its core products include One View Connect, One View Managed, and One View Payments, which provide a unified view of payroll data across multiple countries. Immedis stands out in the market with its automated compliance and validation features, ensuring on-time and compliant payrolls, and its ability to handle cross-border payments in over 120 currencies.

Who Acquired Immedis?

UKG is a prominent provider in the HR, payroll, and workforce management industry. The company offers a range of solutions, including Human Resource Management, Talent Management, Payroll Software, and Workforce Management Software. UKG's services cater to various sectors such as retail, healthcare, and manufacturing. Recognized as a leader in the field, UKG has been named in the Gartner® Magic Quadrant™ for Cloud HCM Suites and is celebrated for its innovative and functional solutions.

When Was Immedis Acquired?

UKG completed the acquisition of Immedis on July 1, 2023. This acquisition comes at a time when the industry is increasingly focusing on modernizing and streamlining global payroll processes. The integration of Immedis' advanced payroll technology with UKG's Human Capital Management solutions aims to address the growing demand for AI-powered, real-time payroll management, reflecting broader industry trends towards enhanced compliance and efficiency in multinational payroll operations.

Why Was Immedis Acquired?

• Market Expansion: The acquisition of Immedis by UKG significantly broadens UKG's market presence in the global payroll sector. Immedis supports payroll operations in over 160 countries and 120 currencies, enabling UKG to cater to a more extensive and diverse client base. This strategic move positions UKG as a formidable player in the global HR and payroll space, targeting enterprise HCM buyers with multi-country footprints.
• Technology Integration: The integration of Immedis' advanced payroll technology with UKG's existing solutions results in the launch of UKG One View. This platform offers a unified, real-time view of payroll across multiple countries, utilizing AI-powered validation and continuous workforce management. The technology supports over 20 languages and provides a consistent, user-friendly experience, modernizing and streamlining global payroll processes.
• Competitive Advantage: The combination of UKG and Immedis creates a highly adaptable and intelligent payroll experience, providing UKG with a competitive edge in the HCM marketplace. The unified platform minimizes errors, enhances compliance, and offers real-time visibility, making UKG's solutions more compelling for multinational businesses. This strategic acquisition accelerates UKG past many competitors still grappling with multi-country payroll complexities.

Acquisition Terms

• Acquisition Price: The acquisition is valued at over €550 million.
• Payment Method: The payment method was not publicly disclosed.
• Key Conditions or Agreements:
  • The acquisition is subject to closing conditions and is expected to be completed within 60 days.
  • Once the acquisition is complete, UKG will launch UKG One View later in the year.
  • Immedis will continue to provide payroll managed services in 160 countries and 120 currencies.
  • The acquisition reflects an increase in valuation above Immedis' last investment round.
  • The acquisition will create exciting career opportunities for Immedis employees.
  • The Irish State will benefit as an investor in SEP via the Ireland Strategic Investment Fund (ISIF).

Impact on Immedis

The acquisition of Immedis by UKG brings significant changes to its operations and management. Immedis' 370 employees will join UKG, expanding the company's workforce and capabilities. Richard Limpkin, co-founder of Immedis, will take on the role of Vice President of Multi-country Payroll Solutions at UKG. This integration aims to leverage Immedis' advanced payroll technology to launch UKG One View, a unified payroll solution that offers real-time insights and a consistent employee experience across 160 countries. The acquisition is expected to be completed within 60 days, subject to closing conditions.

In terms of product offerings, the acquisition will enable UKG to offer a fully managed, multi-country payroll service. The new UKG One View platform will provide a "schedule to fund in one" experience, combining AI-powered validation and continuous workforce management integration. This will support over 20 languages and offer globally compliant pay slips. Employee reactions have been positive, with key figures like Terry Clune and Richard Limpkin expressing excitement about the new opportunities. Customers are also optimistic, anticipating improved payroll accuracy, transparency, and compliance.

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