Nearly 100 employees of the digital twin startup for real estate and infrastructure will look for their next job in the new year after the company cut 22% of full-time employees and contractors less than 10 days after announcing it would raise US$28. .8 million (A$42 million).
The Sydney-US based startup is backed and chaired by former Macquarie CEO Nicholas Moore, along with fellow directors Jim Cooney, chairman of TCI Renewables, and Ric Clark, former CEO of Brookfield Properties, major investors in the round last week. lower valuation than 2021 pre-Series B.
The software startup previously raised $43 million (A$58 million) in a bridge round in August 2021 and $40 million (A$54 million) in a Series A in late 2019.
Willow’s institutional investors include Perennial Value Management, VGI Partners and the CIA-backed U.S. fund In-Q-Tel.
The digital twin software company creates a digital replica of a built asset, enabling owners and operators of large portfolios and infrastructure to make smarter, more proactive, data-driven decisions. Its client base includes some of the world’s largest property and critical infrastructure owners, including Brookfield Properties. It operates in North America, Australia and Europe.
The company has offices in Sydney, Melbourne, Toronto, Seattle, New York, London, Amersfoort and Manila. CEO Joshua Ridley recently moved to Dallas to focus on its US customer base.
The job cuts will affect about 72 of the more than 300 staff, plus 27 contractors, with Australian workers about half affected along with the US team.
Ridley announced his capital raise last week, saying Willow had “a recent recalibration” of its strategy to focus on its biggest growth area, real estate and smart facilities.
“Digital Twins have many applications, but this is a time for sharp focus on where we are uniquely positioned to win,” he said.
Willow has been contacted for comment on the layoffs.
The job cuts are one of several startups cutting their workforce in the run-up to Christmas, alongside failed startups including the closure of delivery services YourGrocer, Deliveroo, which lost about $3 million a month, and Voly, while embattled crypto exchange Swyftx another 90 staff were cut earlier this month and this week the merger with stock trading platform Superhero was called off.