Israeli fintech company Tipalti is laying off 123 employees, accounting for 11% of its workforce, which numbers a total of 1,086 people. Tipalti employs 410 people in Israel, 37 of which will leave as part of the layoffs.
Tipalti raised $270 million in Series F funding in December 2021 at a valuation of $8.3 billion, bringing its total funding to just over $550 million. The company quadrupled its valuation in Series F from its $150 million Series E the previous year. That round made Tipalti the second most valuable fintech company in Israel at the time.
“Over the past three years we expanded the company and the team, built a significant product and we served thousands of customers, with our customer base constantly expanding while significantly increasing our revenue,” Tipalti wrote in a statement. “Over the past year, we experienced strong demand for our financial automation solutions and ended our best-ever quarter by signing new clients. Nevertheless, we need to adapt to the changing financial landscape and we are announcing a reorganization that includes laying off 11% of the company’s employees, alongside other cutbacks of company expenses. The meaning of our Israeli site is that we are parting with 9% of the local employees. We thank our friends, colleagues, and talented staff members with which we worked. The departing employees will receive an expanded severance package and support from company employees who will continue to guide them during their career change.