Israeli digital payments company Rapyd is laying off 30 employees, representing almost 4% of its workforce of 790. Most of those being dismissed are programmers, according to a source familiar with the details. Those being dismissed will be replaced by teams in Eastern Europe, South Africa, and elsewhere where labor is cheaper.
The layoffs are also connected to last August's $610 million acquisition by Rapyd from Dutch investment company Prosus of PayU GPO, which provides payment solutions for consumers and small businesses.
Rapyd, which was founded in 2015, has raised $960 million to date, according to IVC Research. The company has developed a digital payments platform that competes with Stripes and PayPal, and allows small, medium and large businesses connected to it to receive payments through 200 possible channels, compared with PayPal's 70 channels. In this way, the company allows its customers to receive payments and money from many sources, such as banks, credit card companies, digital wallets and payment companies. According to IVC, Rapyd has 790 employees including 345 in Israel. In March 2022, a secondary deal for Rapyd's shares reflected a company valuation of $15 billion.
Rapyd declined to comment on this report.
Published by Globes, Israel business news - en.globes.co.il - on June 18, 2024.
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