Health-tech firm Mojocare slashes workforce by over 80%

New Delhi, June 18 (SocialNews.XYZ) Homegrown health-tech startup Mojocare has laid off over 80 per cent of its workforce within a year of the $20.6 million fundraise announced by the company, the media reported.

According to leading startup covering portal Entrackr, citing sources, over 200 employees are expected to be impacted by the decision, plus the affected employees' email and Slack IDs were disabled without any prior notice.

"Despite our best efforts, our business fundamentals have not worked out over the past few months. In order to become more capital efficient, we have decided to rationalise costs. In order to prioritise profitability and sustainability, we must revert to operating as a small yet robust team, allowing us to figure out what's best for the company going forward," a Mojocare spokesperson was quoted as saying.

However, the spokesperson further mentioned that the decision affected 150-170 employees, the report said.

Mojocare, which was founded by former MPL V.P. Rajat Gupta and ex-Chiratae investment professional Ashwin Swaminathan, offers personalised wellness products and services such as consultations and treatments for daily nutrition, fitness, hair, skin, sleep, and sexual health.

The startup has raised $24 million in total and was valued at around $70-75 million during the most recent fundraise.

It is backed by B Capital, Chiratae Ventures, Sequoia India's Surge, and Better Capital.

In March, home interiors and renovation platform Livspace laid off about 100 employees as part of cost-cutting measures.

According to a report in leading startups coverage portal Inc42, the layoffs impacted two per cent of Livspace workforce, affecting product, engineering, content, and marketing teams.

Livspace had sacked 450 employees during the first wave of the Covid pandemic.

Source: IANS