This quarter saw 58 M&A transactions in the HRTech sector, of which we are highlighting 35 in this report. Overall deal volumes have decreased since the last quarter by 19%, although they have grown by 61% compared to the same period in 2020.
Talent attraction continued to be a hot area in M&A, with 36% of identified deals taking place in this space, followed by talent development and workforce management, representing 28% and 17% of the total deal volume, respectively.
Cross-border transactions accounted for 40% of the total and 91% of deals involved a strategic or PE-backed buyer. The most active regions in terms of HRTech M&A continue to be the US and Europe (mainly the UK), though the volume has stayed relatively steady through the rest of the world.