HN Explorer

KeepTruckin Lays off 400 despite Apr 2019 $149M Investment

9 points by nytesky ↗ HN
So this truck logistics company just raised $149M a year ago, yet today it laid off like 20% of its staff. https://news.crunchbase.com/news/keeptruckin-drives-in-149m-series-d-taking-valuation-to-1-4b/

Is this a housecleaning exercise, because they can't be short of cash from recent events. Preparing for a sale?

2 comments

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ijustwanttovote
Most likely their burn rate is too high and they need more of a runway to weather the storm.
bdcravens
Assuming 2000 employees, $149m is only $75k per employee. That number is reduced depending on how much they spent on "...further invest in hardware and software, double down on safety and efficiency, and build partnerships. The company also wants to invest in AI capabilities and machine vision as well as asset management functionality." Unless they've paired that investment with substantial revenue, they'd run out of runway quickly.