OLX Group lays off employees globally, shuts down OLX Autos in some countries
It is not clear if employees have been let go in India. The Amsterdam-based firm will continue running its classifieds and autos transaction business in India.
OLX Group, owned by global consumer internet group , has laid off several employees, as it shuts down the operations of its automotive unit OLX Autos in some countries.
OLX Autos has been discontinued in Argentina, Mexico and Colombia effective immediately, prompting the company to reduce the size of its workforce across the company, OLX Group said in response to YourStory's queries. It also said it is committed to supporting all impacted employees through the transition.
TechCrunch reported that about 800 employees were let go globally; this was not limited to a particular market or division. The Amsterdam-based firm, which operates in over 30 countries, recently started informing the affected employees about the layoffs. It is not clear if employees have been let go in India.
The company will continue running its classifieds and autos transaction business in India.
"Earlier this year we made the strategic decision to exit the OLX Autos business and potential buyers or investors have been explored since then. As a result of this process, it became clear that pursuing individual country sales was the best option, given the significant value that exists within local markets. This includes Chile, the financing business in Latin America, and both the OLX classifieds platforms and the Autos transaction businesses in India, Indonesia and Turkey," said an spokesperson.
The company was actively engaging with investors and potential buyers for its auto business in select markets, including India and Indonesia, since early this year, TechCrunch had reported in March. In India, Prosus held talks with some of 's investors to explore the sale of the local unit of Autos, according to the report.
In its 2022 annual report, Prosus had said that OLX Autos scaled volumes across key markets and increased revenue by 158%.
"Our plan is to grow OLX Autos in size and to build ecosystems, providing our customers with large offline components and significant financing and insurance activities," Prosus had said.
Edited by Swetha Kannan