Flipkart co-founder’s fintech firm said to have laid off 200 employees

Photo credit: Shahanadg / Wikimedia Commons

Navi Technologies, an Indian fintech company founded by Flipkart co-founder Sachin Bansal, has reportedly laid off about 200 employees across various departments, marking the latest setback for Indian tech companies.

More layoffs are expected to come in the coming weeks, according to various reports.

Tech in Asia has reached out to Navi Technologies for further details. 

According to an email to one of the affected employees, Navi Technologies described the layoff as “an exit process initiation,” with a notice period of one month.

Founded in 2018, the fintech firm offers different types of digital loans of up to US$24,500 to end consumers. In March 2022, it was approved by the Securities and Exchange Board of India (SEBI) to list domestically.

The IPO, which hasn’t happened yet, aims to raise approximately US$490 million. Navi Technologies has to execute the IPO by September 12, after which its approval from SBEI will expire.

Bansal is a well-known entrepreneur in India for founding Amazon’s arch-rival Flipkart in 2007. He has been involved in funding various companies, including Ola, Ather Energy, SigTuple, and Unacademy.

With the digital lending market space becoming crowded, Navi Technologies is facing competition from notable companies such as Cred, Lendingkart, and PhonePe. In May 2022, Navi Technologies’ application for a digital banking license was rejected by the Reserve Bank of India due to non-compliance with the prescribed guidelines.

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