Social media platform ShareChat has let go of 101 employees, one-fourth of its 400-member team, citing impact on its business plans due to the COVID-19 crisis. The employees were informed about the decision on Wednesday.
“The global pandemic along with various local market uncertainties has had an impact on our business plans. This has pushed us towards certain tough decisions including a revised leaner structure while we continue to grow. We’ve had to let go of 101 of our employees who’ve been part of our start-up journey. This was not an easy decision to make,” ShareChat said in a statement.
The company had raised $100 million in a funding round last year led by Twitter and existing investors such as Shunwei Capital, Lightspeed Ventures and others.
The company said it will provide a “comprehensive severance package“ and extend assistance to the impacted associates with its outplacement support.
ShareChat had last month acquired meme-sharing app Memer. The company competes with TikTok and other popular content-sharing platforms.