The city-based software-as-a-service company has laid off 10% of its staff in a wake-up call for the sector.
What happened? The Chennai-based unicorn laid off about 140 members as part of a reorganisation exercise due to macroeconomic conditions and to help manage the company’s debt. The company is supposedly well-positioned for the long-term future but had to make corrections to the scale for sustained future growth.
- Co-founder and CEO Krish Subramanian said the company offered them three months’ severance pay, medical benefits, and extension time to exercise ESOPs.
- He said there were issues in closing deals in the US and European markets. Changes in market demand over the last two quarters with minimal economic recovery necessitated corrections in spending.
Where does it stand? The company closed a new round of funding worth $250 million in February. It also expanded its offerings to build a new unique revenue management platform with acquisitions of RevLock, Brightback, and Numberz.