SirionLabs has fired nearly 130 employees globally, becoming the latest in a series of technology companies to trim their workforce amid a funding winter and a meltdown in tech stocks.
“We are positioning the company for a long-term profitable growth based on sustainable cost structure. We are realigning our resources to achieve that goal,” Hiro Notaney, chief marketing officer at SirionLabs, said in a statement.
News portal Inc42 had first reported the development citing an internal mail sent to its employees by chief executive Ajay Agrawal which said the company is shifting its business strategy to focus on profitability due to current macroeconomic conditions.
However, Sequoia-backed SirionLabs did not disclose any detail on the severance offered to the employees.
“Our immediate priority is to support our colleagues who are leaving SirionLabs. The support differs based on location and applicable local laws, but our aim is to ensure that everyone receives a similar level of support,” Notaney added.
Founded in 2012 by Agrawal, Kanti Prabha, Aditya Gupta and Claude Marais, SirionLabs provides artificial intelligence- powered contract lifecycle management services.
It offers a smarter contracting platform that brings together legal, procurement, sales, and business teams to author stronger contracts, improve risk management and strengthen counterparty relationships. Some of its clients include Vodafone, Unilever and Credit Suisse.
The company claims to manage more than 5 million contracts for its 250 clients across geographies. It competes with companies such as Agiloft, Icertis, Ironclad and Zycus. It has offices in the US, UK, Germany, Australia, France, India and Singapore.In India, the company has its office in Gurugram.
Earlier this month, it had raised $25 million as part of its extended Series D funding round from Brookfield Growth. The fundraise took the startup’s total capital raise in Series D to $110 million.
In November last year, it had acquired Seattle-based contract automation firm Zendoc.
VCCircle, in December, had reported that Brookfield Asset Management Inc. is in talks to lead a $75 million bridge funding round in SirionLabs, pegging the valuation at $650 million. According to people familiar with the matter, the startup is also looking to raise a larger round some time in 2023.
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