Fintech Security

Fintech major PayU lays off 6% of its workforce

Job cuts: PayU fires 6% of its workforce

PayU fires 6% of its workforce (Representative image)

Photo : iStock

Fintech major PayU India has laid off 150 people accounting for 6% of the workforce as the company realigns teams across some businesses. The layoffs at the Naspers-owned company are spread across teams and mainly impact PayU’s India unit and Wimbo, a payment security and mobile payment technology company it acquired in 2019. PayU India’s fintech businesses include Wimbo, Citrus and LazyPay.

A PayU spokesperson said: “Keeping in mind our highest strategic priorities, we are realigning teams across some businesses in India. We will have (to) part ways with some of our colleagues. Close to 150 employees, which is less than 6% ofour total employee strength, will be impacted from organisational realignment.”

The statement further added that it was important ensure that PayU had the right structure and resources, and is nimble enough to respond to a fast-evolving fintech market and seize the opportunities, as the company focuses on creating a full stack digital financial services ecosystem in India.

”The company did not have any plans for any major downsizing”, the spokesperson added.

In October, Prosus, the investment arm of the South African Naspers, which owns PayU, shelved a proposed USD 4.7 billion acquisition of online payments gateway BillDesk by PayU. The termination came within a month of India’s antitrust regulator Competition Commission of India (CCI) approving the deal, which was first announced in August 2021.

The merger of PayU and BillDesk would have created a payment gateway behemoth with USD 147 billion in annualised total payments value (TPV), almost double that of Razorpay, which processes a TPV of USD 80 billion.

According to PayU’s latest financial statement, the company turned profitable in FY22, reporting a 51% jump in operating revenue to Rs 2099,43 crore, and 50.58% increase in revenue to Rs 2,130 crore.

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