ShareChat Layoffs: Indian Social Networking Service Platform Lays Off 15% of Workforce To Streamline Cost Base
Meanwhile, ShareChat is reportedly in final stages to raise about $50 million that brings down its valuation to below $1.5 billion, reports TechCrunch.
New Delhi, December 20: Social media platform ShareChat has laid off 200 employees, or about 15 per cent of its workforce, as part of strategic restructuring. Mohalla Tech, the parent company of ShareChat and short video entertainment app Moj, said the decision reflects the company’s commitment to streamlining its cost base and achieving profitability within the next 4-6 quarters.
"ShareChat, today undertook a strategic restructuring as part of its annual planning for the year 2024," a company spokesperson said in a statement. "In alignment with our strategic vision, the company undertook a comprehensive restructuring effort to streamline operations, enhance productivity, and position the company for sustainable growth," said the company. Intel Layoffs: Chip Giant Lays Off 235 Employees in Its Fifth Round of Job Cuts in 2023, More Jobs Cuts To Happen in 2024.
As a result, "the organisation has moved to a flatter org structure and prioritised product initiatives that resulted in a reduction in team sizes by roughly 15 per cent", the spokesperson added. Meanwhile, ShareChat is reportedly in final stages to raise about $50 million that brings down its valuation to below $1.5 billion, reports TechCrunch. Razorpay and Cashfree Receive Final Authorisation From Reserve Bank of India To Operate As Payment Aggregators.
Existing investors including Temasek and Tencent are reportedly among the investors in advanced stages of talks in the new round, according to the report, citing sources. Mohalla Tech saw its losses swell over 38 per cent to Rs 4,064 crore during FY23 as compared to Rs 2,941 crore in FY22. It posted a 62 per cent increase in its revenue from operations to Rs 540.21 crore from Rs 332.69 crore in FY22.
(The above story first appeared on LatestLY on Dec 20, 2023 05:37 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).