Udaan, a popular B2B e-commerce platform, has reportedly laid off around 100-120 employees after its recent successful fundraising of US$340 million (about Rs 2826.43 crore) in Series E round. The layoffs are said to be due to the integration of Udaan’s two business segments: Essentials and Discretionary.
In September, Udaan had announced significant organizational changes by merging its Essentials business with the Discretionary business. The merger also saw the company exit some of its key executives, including Chief Technology Officer, Gaurav Bhalotia, and Head of Essential Categories, Vivek Gupta. Now, ET’s Report According to, after all this Udaan has fired 100 to 120 of its employees.
The report states that a Udaan spokesperson confirmed the layoffs and stressed that the company’s focus is on building a profitable business while remaining customer-centric and agile. “These interventions have also resulted in some redundancies in the system,” the spokesperson said.
The company is reportedly providing support to the affected employees including health insurance, compensation package as per company policy and placement assistance. However, specific details regarding the severance given to the affected employees were not disclosed.
This is the third round of job cuts for Udaan from 2022 onwards. Last year, the Bengaluru-based company had laid off around 500 employees in two rounds of layoffs in June and November.
Despite the recent layoffs, Udaan continues to speak well of its ongoing journey and is hopeful that the business will move towards profitability.