São Paulo — The startup marketplace for buying and selling real estate Loft is cutting another 384 people from its team of 3,200 employees. In April, the company had already sent 159 people away, which it had justified as “redundancies” arising from acquisitions.
That month, co-founder and co-CEO Mate Pencz had told Bloomberg Línea that after a period of many hires, consolidation followed by phases of “greater efficiency gains” is part of the trajectory of technology companies.
Efficiency was also the word used by Loft to justify the hiring of Marcel Regis, former CEO of Bavaria, Colombia’s largest brewery which is owned by AB InBev. The executive recently took over as COO with the mission of preparing the startup for a more adverse market.
“The staff reduction adds to other efficiency-enhancing measures taken in recent months following four years of aggressive and consistent growth, both through organically developed products and via acquisitions,” the company said on Tuesday in a statement.
So far, Brazil’s startups already laid off more than 2,000 workers, according to the website LayoffsBrasil.com.
“With these measures, Loft Group is adapting to the new global reality by taking important steps to support the continuation of the current pace of strong growth in its business by offering innovative products to clients, including real estate agents and brokers across the country.”
Valued at nearly $3 billion after a $425 million Series D last year, Loft is one of the unicorns in Brazil poised to IPO in the US.
In early April, Loft co-founder Kristian Huber told Bloomberg Línea that while the company has governance and compliance lined up for the IPO, Loft could still raise money with private equity investors and was in no rush to go public. He did not comment on what valuation the company intended to achieve or whether the startup would opt for the NYSE or Nasdaq.