Darwinbox, the Hyderabad based human resources technology company, has successfully concluded a $40 million funding round from Teachers’ Venture Growth (TVG), marking another significant milestone in its journey toward global expansion. The investment arm of Ontario Teachers’ Pension Plan valued the company at approximately $1 billion, reinforcing Darwinbox’s position as a leading player in the competitive HR software market.
The funding structure included both primary capital infusion and secondary transactions, with Peak XV Partners executing a partial stake sale as part of the deal. This strategic move allows the company to access fresh capital while providing liquidity to early investors, a common practice among mature startups preparing for eventual public offerings.
Strategic Focus on North American Markets
Darwinbox plans to deploy the new capital primarily toward strengthening its international operations, with particular emphasis on North American market penetration. The company’s expansion into this region, initiated in 2022, has yielded impressive results, with management reporting threefold year on year growth. This performance demonstrates strong market demand for modern HR technology solutions among North American enterprises seeking alternatives to legacy systems.
Comprehensive Platform Offering
Founded by Jayant Paleti, Rohit Chennamaneni, and Chaitanya Peddi, Darwinbox operates a cloud based platform encompassing recruitment, payroll management, employee engagement, talent management, and people analytics. The company serves over 1,000 enterprise clients spanning 130 countries, including notable brands such as Starbucks, Nivea, Cigna, WeWork, and Crisil.
Building on Recent Success
This latest investment follows Darwinbox’s substantial $140 million Series D round in March 2024, which was led by Partners Group and KKR. The company has now raised a cumulative $280 million across all funding rounds, positioning it well capitalized for continued international expansion and product development initiatives.
With growing demand for AI-powered HR solutions and digital transformation tools, Darwinbox’s latest funding positions the company to capitalize on evolving market opportunities while competing effectively against established industry leaders in key global markets.
