Mamaearth, a skincare brand, is set to lay off approximately 80-100 employees from its subsidiary Momspresso’s brand marketing department.
Momspresso operates across three key business segments and provides a diverse range of services. Firstly, it serves as a dynamic platform where users can share their personal parenting experiences through blogs, fostering a vibrant community of parents.
Secondly, Momspresso provides comprehensive brand marketing services, enabling businesses to effectively reach their target audience.
Lastly, the subsidiary operates MyMoney, an influencer engagement platform that connects brands with social media influencers to promote products and services.
According to sources, the skincare company has decided to shut down both Momspresso and MyMoney at the end of this month due to surging losses faced by the latter.
Mamaearth’s draft red herring prospectus (DRHP) reveals that during its acquisition in December 2021, Momspresso had a net value of Rs 16.2 crore after liabilities deducted from its assets.
The company had planned to launch its initial public offering (IPO) in December last year but postponed it to March due to unfavourable market conditions.
The decision to lay off employees and close Momspresso and MyMoney will have implications for both the affected individuals, and the overall company.
Nonetheless, Mamaearth remains committed to prioritising its skincare product line and adapting to market conditions to ensure sustainable growth in challenging times.
