Global remote hiring and employee management startup Deel has banked $425 million in a Series D funding round to become the highest valued service in the HR tech space.

Valued at $5.5 billion, Deel raised the money from multiple investors, led by Coatue, one of the world’s largest tech investment companies. Coatue has also invested in rectech firm HandShake.

Other new and existing investors included Andreessen Horowitz, Altimeter Capital, the YC Continuity Fund, Spark Capital, Greenbay Ventures, Neo and more than 40 unnamed participants.

Since its inception in 2019, U.S.-based Deel has secured $630 million. Its talent acquisition capacity across 150 countries has made it a popular investment.

The firm says it helps employers hire employees in other countries “in minutes” without additional cost of having local expertise and administration.

Deel didn’t explain how it sources talent, but it said it has legal entities in 50-plus countries to take on responsibilities of recruitment, compliance with local laws, payroll management and HR administration.

Companies that have already hired teams abroad can use Deel’s global payroll, which entails salary disbursement through its system supporting 200 currencies. With 400 team members, the startup is serving more than 4,500 customers worldwide.

“The way people work is fundamentally changing. And it’s never going back,” said Deel CEO Alex Bouaziz in a statement.

“We founded Deel because we didn’t want hiring or payments to prevent businesses from building the best global teams and finding the best global talent. We’re going to keep challenging the norms of how companies operate and continue building tools that shape the future of work.”

As Covid-19 accelerates transition to working with remote team, HR tech services with global rectech and onboarding expertise open floodgate of growth funds.

Deel’s closest comparators Remote and EmploymentHero recently raised $150 million and $103 million, respectively.

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