Goldman Sachs invests in PeopleStrong to propel global expansion

Goldman Sachs Alternatives has acquired a majority stake in Gurugram, India-based PeopleStrong, a provider of AI-powered human capital management solutions.

The deal marks a significant milestone for PeopleStrong as it sets its sights on global expansion.

A rising star in India’s SaaS orbit

PeopleStrong has steadily carved out a niche for itself at the crossroads of three powerful currents reshaping business today: enterprise digitalisation, the increasing use of artificial intelligence, and the global momentum behind Indian SaaS firms.

From humble beginnings, the company now processes over 1.5 million paycheques each month and caters to a diverse clientele across banking and finance, retail, aviation, healthcare, and manufacturing.

Its customer roster reads like a who’s who of Indian enterprise, featuring names such as the Aditya Birla Group, Tata, Mahindra, Kotak Mahindra Bank, HDFC Ergo, Paytm, Cipla, and Air India. Currently supporting over 2 million users, the company has set an ambitious goal to grow this number to 10 million in the next five years.

Read: The growth and agility blueprint

Backed for scale and innovation

Goldman Sachs’s entry marks a turning point in PeopleStrong’s growth journey. With a war chest of expertise in scaling tech-driven enterprises and a global network to match, the $8.5 billion alternative capital investor is seen as an ideal partner for the next chapter.

“We’ve remained committed to sustainable and profitable growth,” said Sandeep Chaudhary, CEO of PeopleStrong.

“As one of the few EBITDA-positive SaaS companies with market leadership, we’re thrilled to welcome Goldman Sachs as a strategic partner. Their global strength in SaaS and AI will be instrumental in fuelling our next stage of innovation and scale.”

From uncharted waters to market leadership

Pankaj Bansal, the company’s founder, reflected on the journey from early scepticism to industry recognition:

When we started, HR SaaS was an unknown category in India. We not only built the product but also shaped the market.

“This milestone is a testament to the trust of our clients and the relentless efforts of our team. I also pay tribute to my late co-founder, Shelly Singh, whose vision continues to guide us.”

What started as a bold experiment in digitising human resources has grown into a robust, mobile-first HCM suite that manages everything from talent acquisition to employee experience and performance management.

Today, it’s an award-winning platform, consistently rated 4.8 out of 5 across iOS and Android, and has earned accolades from Gartner’s Voice of the Customer for three years running.

Read: PeopleStrong acquires PayReview

A perfect match of vision and velocity

From Goldman Sachs’s perspective, the investment is as strategic as it is symbolic. Rajat Sood, Managing Director at Goldman Sachs, explained: “PeopleStrong operates at the intersection of talent and technology, delivering measurable outcomes for clients through its tech-first approach to human capital management. We look forward to supporting the company’s next chapter of growth by leveraging our global platform and network.”

The deal fits squarely within Goldman Sachs’s broader playbook of backing high-growth companies that are harnessing technology to transform traditional industries.

With nearly 20 years of experience deploying capital in India, the firm is no stranger to spotting potential early.

Passing the torch, with confidence

Multiples Private Equity, the outgoing majority stakeholder, expressed pride in what’s been built so far.

“We are proud to have partnered with a high-performing leadership team to build a resilient and scalable SaaS business. The foundation is strong, and the future is even more promising,” said Manish Gaur, Managing Director and Head of Enterprise Tech at Multiples.

With this new chapter, PeopleStrong is shifting gears. The combination of a rock-solid foundation, a clear product-market fit, and a new backer with global muscle puts the company in pole position to lead the charge in reshaping how businesses manage their most valuable asset: people.

As India continues to make waves on the global SaaS stage, PeopleStrong’s story is fast becoming a benchmark – not just for the HR tech space, but for the broader narrative of Indian innovation scaling the global ladder. In business terms, this isn’t just a growth story – it’s a coming-of-age moment.