Italian group Zucchetti has acquired share control of brazilian startup Elofy, a developer of HR systems for customers such as Sicredi, Dasa and EDP Brasil. The operation is part of the multinational's investment and expansion strategy in HR solutions in Brazil. The value of the transaction has not been disclosed.

Founded in 2017 by Daniel Kafruni, in Porto Alegre (RS), Elofy has partners Lucas Kafruni and Eduardo Kafruni, 24 employees and 70,000 users from medium and large companies. Its platform integrates several services in one environment: goals and objectives (OKR) management, performance appraisal, succession, individual development plan, continuous feedback, 1:1 conversations and customizable surveys. In 2020, the startup had 300% growth in customer base and 50% growth in sales over the previous year.

After the purchase, Elofy plans to accelerate the development of the roadmap and establish itself as the best performance and engagement management software in Brazil. "Now, our goal is to evolve a lot in analytics to provide powerful information to offer our client an increasingly strategic and data-driven HR and people analytics. The goal is to continue to grow at a fast pace and enter the international market," says Daniel Kafruni.

For Zucchetti, the convergence with Elofy opens the door for the group in the country's HR market, representing a decisive step in its expansion strategy. The company already has its suite of people management solutions well known in Europe, serving large companies in different segments. For Alessio Mainardi, CEO of Zucchetti Brasil, seeing a young startup like Elofy serving important clients demonstrates the maturity of the business: "The solution's synergy with our existing operations in Brazil and abroad, along with the tool's adaptability, serving small, medium and large companies simultaneously were the most important factors in our decision".

Zucchetti has been active in Brazil for the last 10 years. Here it has 41,000 customers, more than 1,700 partners and 186 employees. Before Elofy, the latest acquisition in Brazil was Santa Catarina-based Compufour, a developer of POS systems for micro and small businesses. "We are always analyzing and looking for companies that can add value to our industrial growth plan. In addition to organic growth, Zucchetti acquires companies that can complete its portfolio, providing a broad suite for the current software projects that the market requires", explains Mainardi.

In the picture: Daniel Kafruni, Lucas Kafruni and Eduardo Kafruni, partners at Elofy.