Canadian-led human resources (HR) management software company Dayforce is set to be acquired and taken private by United States (US) private equity giant Thoma Bravo for $12.3 billion USD ($17 billion CAD).
The deal became official just 24 hours after Dayforce confirmed it was in acquisition talks with Thoma Bravo. Dayforce will be acquired in an all-cash transaction paying Dayforce shareholders $70 USD per share, a premium of 32 percent over the company’s closing share price on Aug. 15, just before Bloomberg first reported the talks.
The transaction, subject to shareholder and regulatory approvals, also includes a significant minority investment from a wholly owned subsidiary of the Abu Dhabi Investment Authority, according to Dayforce. The acquisition is expected to close in early 2026, where the company will continue to operate under the Dayforce name and brand.
Dayforce is led by Toronto tech entrepreneur David Ossip.
Previously known as Ceridian, Dayforce is headquartered in both Toronto and Minneapolis, Minn. Dayforce was founded in 2009 by president and CEO David Ossip, a Toronto-based entrepreneur who previously built and sold fellow Canadian HR software firm Workbrain to US-based Infor for $227 million CAD in 2007.
When longstanding Minneapolis-based payroll processing business Ceridian acquired Dayforce in 2012 for an undisclosed amount, Ossip took charge of the combined entity as chair and CEO. Since then, he has revitalized the company.
Dayforce has served as the firm’s flagship offering post-acquisition, providing payroll, HR, benefits, talent, and workforce management capabilities through a single platform. Ceridian went public on the TSX and NYSE in 2018. In 2023, it acquired Toronto-based talent intelligence startup Ideal to expand its artificial intelligence capabilities, and last year Ceridian rebranded to Dayforce.
Today, Dayforce has more than 9,500 employees and nearly 7,000 customers. The company’s LinkedIn page indicates that it has more than 1,500 staff based in Canada.
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Thoma Bravo taking Dayforce private marks the latest in a wave of tech privatization deals, following in the footsteps of fellow Canadian firms like Copperleaf Technologies, Magnet Forensics (which was also taken private by Thoma Bravo), Nuvei, and Softchoice.
South of the border, the HR software market has seen some consolidation lately, with Paychex buying competitor Paycor earlier this year for $4.2 billion USD, following Automatic Data Processing’s purchase of WorkForce Software for $1.2 billion in late 2024. Dayforce competes with both companies as well as major players like Gusto, Rippling, and Workday.
During the second quarter, Dayforce beat analyst expectations and hiked its forecast for the rest of the year. In Q2, the company generated nearly $465 million USD in total revenue, an increase of nine percent year-over-year. Dayforce also posted net income of more than $21 million, an improvement compared to the $1.8 million it lost during Q2 2024.
UPDATE (08/21/2025): This article has been updated to include deal details after Dayforce initially confirmed advanced talks with Thoma Bravo.
Feature image courtesy Dayforce.