NorthgateArinso has acquired Neller Pty Ltd., an Australian HR and payroll solution provider. The acquisition supports NorthgateArinso's growth strategy and strengthens the company's international market position in Australia, New Zealand and Asia Pacific.
The acquisition includes Neller's Preceda OnDemand SaaS payroll solution and the Neller Employer Services (NES) subsidiary which provides outsourced payroll services. Neller's more than 1,000 clients will also add significantly to NorthgateArinso's Asia Pacific client base.
This move also increases NorthgateArinso's local presence in Australia and New Zealand with offices in Auckland, Adelaide, Perth, Brisbane, Melbourne, Sydney and Wellington.
NelsonHall's just released marketing analysis, Targeting Payroll BPO, describes increasing demand for multi-country payroll services by both mid and large market multinational companies.
The Neller acquisition indicates NorthgateArinso is responding to these market oppportunties by expanding its global payroll services capability and capacity. Increasing capacity makes sense given NorthgateArinso's December 2009 award of a 7-year HR contract with AstraZeneca that includes payroll services for >100 countries.
In January 2010 Talent2, a major HRO vendor in Asia Pacific, acquired Zapper to increase its regional payroll coverage.
Both of these moves reinforce our view that Asia Pacific will be a high growth region through 2013.
Source : NelsonHall, Mergers and Acquisitions by Linda Merritt, Feb 02, 2010