Israeli HR startup Spetz.io, a digital recruitment platform, will be acquired by U.S.-based startup Paradox - a global talent acquisition management platform.
March funding round turns into January acquisition
Spetz developed a chatbot system that seamlessly integrates into an enterprise’s existing communication channels like WhatsApp, Slack, or Messenger. In addition, the system connects to standard talent acquisition platforms, such as Comeet and Niloosoft, enabling HR to communicate with candidates throughout the recruiting process.
The Spetz platform definitely gained popularity during COVID, which has totally changed the talent acquisition landscape. The platform is based on AI technologies, helping large organizations manage the hundreds and thousands of talent acquisition processes going on at once. The platform though doesn’t stop there, it also automates solutions for tasks “parked” in the HR execs inbox, mostly revolving around candidate communication throughput the hiring or interviewing process.
Last July the company revealed its Chrome extension, which allows users, not limited to HR, to message people on WhatsApp’s web or desktop application without being part of their contact list.
“Totally worth the quarantine”
Spetz CEO and co-founder, Yam Dvir, explains in a coversation with Geektime that Spetz made some significant COVID adjustments, focusing on improving the product and adapting it to the ongoing pandemic landscape: “Our flexibility and quick adjustment allowed us to increase sales with market leaders.”
Dvir said that most of the communication with Paradox was done via Zoom, however, in the later phases of the process, Spetz’s leadership team traveled to the U.S. to get better acquainted with the Paradox team and further the acquisition process: “It was totally worth the quarantine on the way back”
The Israeli startup becomes a R&D center
Spetz was founded in 2017 as part of the IDC’s Zell Entrepreneurship Program, by CEO Yam Dvir, COO Yael Florenthal, and CTO Alon Slutzky. Just last March, the company secured a $750K funding round from Fusion LA and GoAhead Ventures, in addition to creating a healthy revenue stream on its own. The 9-person Israeli team will join Paradox’s European and Middle Eastern operations as a Tel Aviv based R&D center.
The companies have yet to report the acquisition details, however, according to reports, its estimated that the Israeli startup was acquired for $5 million - a number that doesn’t really jump off the screen - but still represents a nice ROI over its short life. On the other side of the coin, Paradox, which was founded in 2016, has quickly climbed the success ladder, becoming a leader in HR talent acquisition automation and working with market giants in the U.S. Founder and CEO Aaron Matos noted regarding the acquisition that it wasn’t just about adding another R&D center: “We were impressed with the Spetz team’s growth, and even more impressed with their vision for what we can build together.”