Introduction
Mensa Brands is a Bengaluru-based company that has become one of the fastest-growing e-commerce businesses in India over the past few years. Founded in 2020, Mensa Brands has quickly established itself as a leading player in the retail industry, acquiring several e-commerce startups and consolidating them under its umbrella.
History
The brainchild of Ananth Narayanan, former CEO of Myntra and Jabong, Mensa Brands was launched with the aim of acquiring and consolidating e-commerce businesses in India. The company raised $254 million in funding across two rounds, the first of which was led by Falcon Edge Capital and Norwest Venture Partners in June 2021, and the second by a group of investors including Anand Sankeshwar, founder of logistics company VRL Group, and musician Ananya Birla in November 2021.
Investors
Mensa Brands has attracted some of the biggest names in the Indian startup ecosystem as investors, including Fidelity, Amansa Capital, and Alteria Capital. The company has also raised capital from a number of high-profile individuals, including Anand Sankeshwar and Ananya Birla.
Performance
Despite its short-term history, Mensa Brands has been performing exceptionally well in the Indian e-commerce space. The company has acquired several startups and consolidated them under its umbrella brand, including the undergarments brand Zivame and the children’s clothing brand Hopscotch. By acquiring these startups, Mensa Brands has rapidly expanded its product portfolio, making it one of the largest e-commerce companies in India. As of now, the company has over 100 million customers across India.
Layoffs
On 30th May 2023, Mensa Brands fired its employees from the recently acquired India Lifestyle Network. The company laid off 30 employees from its Bengaluru headquarters, which accounts for 5% of its total workforce. The news comes as a major shock to employees and industry experts alike, especially since Mensa Brands has been performing exceptionally well in the Indian e-commerce space and has enjoyed support from investors across the globe.
Reasons for Layoffs
The reason for the layoffs is not immediately clear. However, industry experts speculate that it could be due to the company’s consolidation strategy, which involves acquiring and consolidating e-commerce businesses. The recent acquisition of India Lifestyle Network could have resulted in a duplication of roles, leading to the layoffs. While Mensa Brands has not made an official statement concerning the layoffs, it is expected that the company will provide more information soon.
Statements from Stakeholders
At this time, there are no official statements from Mensa Brands or any stakeholders on the layoffs. However, industry experts and employees are closely monitoring the situation and will be eager to hear what the company has to say.
Conclusion
In conclusion, Mensa Brands has become one of the fastest-growing e-commerce businesses in India, acquiring and consolidating several startups under its umbrella brand. The recent layoffs at the company’s Bengaluru headquarters come as a surprise, especially given its success in the Indian e-commerce industry. Although the reason for the layoffs remains unclear, it is expected that the company will soon provide more information to its employees and other stakeholders.
