Ex-Lazada director’s fintech firm cuts 10% of workforce

(From left) Ayoconnect CFO Alex Jatra, CEO Jakob Rost, and COO Chiragh Kirpalani / Photo credit: Ayoconnect

Indonesian fintech firm Ayoconnect has laid off 10% of its workforce in the country as part of efforts to pursue “profitable and self-sustaining business lines,” according to a statement received by Tech in Asia.

The company said the decision was made after “carefully aligning objectives for 2023” to transition to “a leaner organizational structure.”

“We aim to position Ayoconnect for a stronger future by remaining agile and responsive to market needs,” a spokesperson said.

According to its official website, Ayoconnect has about 200 employees. Jakob Rost, who previously worked as a managing director for Lazada, founded the Jakarta-based company in 2016 along with Chiragh Kirpalani and Adi Vora.

Ayoconnect offers full-stack payment API solutions for businesses, with main offerings including direct debit, virtual cards, instant transfers, and digital products. It said to have more than 200 clients across Southeast Asia.

The fintech startup has raised a total of US$43 million in funding. Its latest round was the US$13 million series B+ in October 2022.

Affected employees will receive severance pay, continued medical insurance for the entire family for six months, and an outplacement program to help them find new jobs.

See also: Can SEA catch up to open banking in the West?