CoAdvantage & PrimePay Merge to Elevate HR Tech for SMBs
Aquiline Capital Partners has announced the merger of its portfolio companies, CoAdvantage and PrimePay , to enhance human capital management (HCM) services for small- and mid-sized businesses. This strategic combination…
Aquiline Capital Partners has announced the merger of its portfolio companies, CoAdvantage and PrimePay , to enhance human capital management (HCM) services for small- and mid-sized businesses. This strategic combination aims to offer a more flexible and comprehensive suite of HR and payroll solutions, leveraging advanced AI and integration capabilities. The merger will strengthen both brands' industry leadership by maximizing technology investments and expanding market reach.
Joining the two human capital management (HCM) tech innovators creates a differentiated suite of solutions designed to support small- and mid-sized businesses throughout their lifecycles
NEW YORK , March 5, 2025 -- Aquiline , a private investment firm specializing in financial services and technology, announces a strategic merger between two of its portfolio companies: CoAdvantage , a Professional Employer Organization (PEO) that provides a comprehensive suite of bundled, fully outsourced human resources services, insurance, and benefits offerings to small- and mid-sized businesses, and PrimePay , a payroll and human resources software business that helps small- and mid-sized businesses and franchises automate payroll, tax filings, workforce management, and compliance.
Given the highly complementary nature of both brands, the joint offering will provide customers greater flexibility and choice in the type of payroll and HR services they can access. From standalone payroll to fully outsourced human resources solutions in complex regulatory environments, CoAdvantage and PrimePay together will be able to meet and evolve with the needs of their customers. This also includes competitive benefits programs to attract and retain talent, and a robust proprietary back-end technology stack that can support mid-sized businesses and franchises as they scale and grow.
"At the heart of this combination is recognition that the needs of our customers across both companies regularly change as they grow and meet new challenges," said Joe Pappalardo , partner at Aquiline. "Joining forces better enables the delivery of an outstanding experience to all our customers as they evolve in size and preference across the full range of self- to full-service solutions. This combined capability in the payroll and HR technology market will further strengthen CoAdvantage's and PrimePay's positions of industry leadership."
"We are thrilled to work with the PrimePay team and excited for the opportunities this merger will create for our customers and their employees," said John Cumbee , CEO of CoAdvantage. "Leveraging the deep industry expertise of both organizations and our complementary technology strategies will allow us to offer a more seamless and comprehensive set of HR and payroll solutions, driving consistent, long-term growth. By combining CoAdvantage's cutting-edge CoAdQuantum technology platform with PrimePay's robust platform, integrations, and AI capabilities, we are positioned to deliver a unified, best-in-class HCM experience for the SMBs, mid-sized firms and franchises we support."
Overview of Merger Rationale
While the businesses will continue to operate independently in the foreseeable future, the merger creates a full-spectrum combined offering and value proposition that will give CoAdvantage and PrimePay the ability to better meet the needs of new and existing customers
Merger significantly expands CoAdvantage's go-to-market and adds new growth opportunities through PrimePay's partnerships and embedded customer base
Reflects a shared commitment to technology innovation and advisory services Provides opportunity to combine and maximize investment in product development and innovation, including integrations and AI Additional details can be found on both companies' websites:
CoAdvantage FAQs
PrimePay FAQs The merger is expected to close mid calendar year 2025.
Notes to Editors
About Aquiline Aquiline Capital Partners LP ("Aquiline") is a private investment firm based in New York , London and Philadelphia that is dedicated to financial services and technology. As of December 31, 2024 , Aquiline has approximately $11 billion of assets under management and has deployed approximately $7.3 billion of capital across the firm's three strategies in private equity, venture, and credit.
For more information about Aquiline, its investment professionals, and its portfolio companies, visit www.aquiline.com .
About CoAdvantage
CoAdvantage is a leading professional employer organization (PEO) that partners with small and mid-sized businesses nationwide to provide comprehensive HR solutions. By outsourcing key HR functions — such as payroll, benefits, risk management, and compliance — businesses can reduce administrative burden and focus on growth and profitability. For more information, visit www.CoAdvantage.com .
About PrimePay
PrimePay makes payroll and HR complexity disappear. We've packaged 37 years of experience and an unrelenting commitment to service into an all-in-one HCM platform to empower financial and people outcomes. More than 14,000 clients rely on the PrimePay Platform to replace manual work, replace compliance worries, and stop wasting time on things that should just work, so they can get back to work. To learn more, visit primepay.com .
