PaySpace, a leader in payroll technology across Africa and the Middle East, has officially rebranded to Deel Local Payroll, powered by PaySpace, following its acquisition by global payroll giant Deel in 2024. The acquisition deal was reportedly worth around $100 million at the time.

The rebranding is more than just a name change. It signifies Deel’s broader strategy to consolidate its payroll operations and tap into new markets by leveraging PaySpace’s robust technological infrastructure and regional expertise. Under the new branding, PaySpace’s platform, now embedded in Deel’s global ecosystem, continues to offer the same powerful payroll solutions it was known for, but with added flexibility and global reach.

Deel, a unicorn valued at over $12 billion, has been at the forefront of simplifying global payroll and HR management for businesses operating across different jurisdictions. With operations in over 150 countries, Deel allows companies to seamlessly manage employees while ensuring compliance with local financial and legal regulations. Since its founding in 2018, Deel has become the fastest-growing unicorn, offering businesses the ability to hire talent anywhere in the world.

The acquisition of PaySpace — which serves over 15,000 clients, including global brands like Heineken, Coca-Cola, and Puma — fits into Deel’s broader ambition to strengthen its foothold in the payroll technology space, particularly in Africa and the Middle East. PaySpace’s comprehensive payroll platform, which has been in operation for over 20 years, is now central to Deel’s payroll offerings, forming the backbone of Deel Local Payroll’s capabilities.

The acquisition, which concluded in 2024, has resulted in an integrated product offering that combines PaySpace’s local expertise with Deel’s global infrastructure. For Deel, PaySpace’s advanced payroll engine and established customer base in 44 countries provide a significant advantage, particularly as it looks to expand its reach in emerging markets where payroll complexities can be a major challenge for businesses.

The Shift to Deel Local Payroll

Now operating as Deel Local Payroll, powered by PaySpace, the platform continues to offer flexible payroll solutions that cater to a wide range of clients, from small businesses to large enterprises and payroll service providers. The PaySpace calculation engine, which now supports Deel’s Employer of Record (EOR) and Global Payroll (GP) products, enables real-time payroll processing, quicker G2N (Gross-to-Net) calculations, and reduced payroll processing times across various regions.

“We set out to create world-class payroll management that served all markets, drawing inspiration from our African customers and leveraging the latest cloud technologies,” says Bruce van Wyk, CEO of Deel Local Payroll. “The rebranding to Deel Local Payroll allows us to integrate more deeply with Deel’s global platform, positioning us for continued success and growth. This move builds on the strong foundation we’ve already established.”

For customers of both Deel and PaySpace, the rebranding does not mean any immediate changes in service or support. Deel Local Payroll continues to offer the same cloud-native payroll platform and team of experts, ensuring that existing contracts, systems, and processes remain unaffected.

The PaySpace platform, now fully integrated with Deel’s payroll services, offers a suite of features designed to streamline payroll processes for businesses. These include automatic legislative updates, seamless integration with a wide array of business applications, and extensive automation tools aimed at reducing manual intervention in payroll calculations. The platform is also known for its powerful scalability, allowing it to meet the diverse and evolving needs of businesses at various stages of growth.

Notably, PaySpace’s groundbreaking feature, Pacey, a WhatsApp-based employee self-service bot, continues to empower employees with easy access to payroll slips and other payroll-related information. The platform’s security, flexibility, and ease of use are among the reasons it has garnered significant attention from businesses in the African and Middle Eastern markets.

Deel’s Expansion Plans

With the acquisition, Deel aims to continue expanding its product offerings, focusing on localized payroll solutions while maintaining the global flexibility its customers require. Deel Local Payroll is positioned as an independent subsidiary, offering a self-service payroll product alongside Deel’s more comprehensive global payroll solution. This dual approach ensures that businesses can choose the level of service that best fits their needs, while benefiting from the innovative tools developed by PaySpace.

As Deel Local Payroll continues to localize payroll services in key markets, including the UK, South Africa, Canada, and the UAE, the company plans to integrate its advanced payroll engine into Deel’s broader global payroll ecosystem. This strategic move positions Deel as a major player in the payroll industry, with a unique competitive offering that combines local expertise with global scalability.

Deel’s acquisition of PaySpace is also a testament to the resilience and innovation of African tech. By acquiring a well-established African company, Deel demonstrates confidence in the region’s tech ecosystem and its ability to deliver world-class solutions that meet the needs of businesses on a global scale.

The integration of PaySpace into Deel’s global platform is likely to drive further innovation in payroll and HR technology, benefiting businesses and employees alike. As Deel continues to expand its footprint globally, the collaboration between Deel and PaySpace is poised to play a key role in shaping the future of payroll management worldwide.