Nigel Verdon, CEO of Railsr
Exclusive: Fintech Railsr planning 16% job cuts, sale of Singaporean business
The UK-based fintech Railsr is under pressure to cut costs despite a recent fundraise.
The business, which is reportedly exploring a sale, has already lined up a buyer for its operations in Singapore with the transaction expected to close in the next 10 days.
According to messages to staff, seen by AltFi, the job cuts are expected before Christmas although specific staff are yet to be notified as to where the cuts will fall.
Railsr, which rebranded in June, raised a $46m Series C funding round last month. The round consisted of $26m of equity and $20m of debt but the business is clearly concerned about costs.
It made its first wave of job cuts in May when it cut c.10 per cent of its workforce.
Since then, AltFi understands, the business has largely had a hiring freeze although it appointed ex-England rugby player Will Carling as an advisor around this time and has since added its first chairman in the form ex-Mastercard chair Rick Haythornthwaite.
“We’re not immune from the market downturn and we have to focus on our route to profitability. We’ve had to make some tough decisions about our business. The playbook is to focus on our strengths – and that has meant downsizing in some markets and saying goodbye to good colleagues," Nigel Verdon, CEO and co-founder of Railsr told AltFi in an email statement.