Factorial acquires Empion and strengthens its focus on AI

Barcelona-based company Factorial has acquired German start-up Empion, which specialises in AI-powered talent assessment, in a deal that strengthens its focus on the German market and expands the capabilities of its people management platform. Through the acquisition, Factorial will add tools to assess candidates and employees, from recruitment to monitoring employee performance and engagement.

Founded in 2021 by mathematician Annika von Mutius, Empion has developed a tool that goes beyond traditional CV screening. Its system uses AI to compare an individual’s characteristics with those of the company and the role, taking into account factors such as skills, personality, motivation and corporate culture.

From Berlin, Empion has built a client portfolio including Deutsche Telekom, Procter & Gamble, Siemens Mobility, Raiffeisenbanken, and HUK-COBURG, and has raised 9 million dollars in funding since its foundation.

Factorial works with more than 16,000 companies in over 90 countries

The purchase comes amid Factorial's international expansion. Founded in Barcelona in 2016, the company states that it already works with more than 16,000 companies in over 90 countries. In 2022, it achieved unicorn status, and in 2026, it closed a Series D round of 150 million dollars, with a valuation of 2.5 billion.

According to the company, Germany is also one of its priority markets, and the acquisition of Empion allows it to gain presence there while incorporating the start-up's technology and team. "Germany is the most important HR tech market in Europe," said Jordi Romero, CEO of Factorial. The operation will add several million dollars in annual recurring revenue (ARR) to the business and will allow Empion's technology to be brought to the rest of the company's clients.

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From hiring to talent management

Empion's technology will become part of Factorial and will be progressively integrated into its people management tools. The company also plans to incorporate psychometric, cognitive, motivation, and skills tests into the platform, in addition to the cultural fit assessment tools already offered by Empion.

The incorporation of Empion allows Factorial to expand its offering in talent selection and evaluation.

The move thus expands Factorial's playing field. If until now the platform mainly covered issues such as administrative management of workers, holidays, salaries or other human resources processes, the incorporation of Empion allows it to enter more directly into talent selection and evaluation.

In this way, the Barcelona-based company seeks to connect different moments of the relationship between a company and its employees on the same platform: from the selection of a candidate to the monitoring of their performance and commitment.