What You Should Know:
– Redesign Health, a company that builds other healthcare startups, laid off 67 employees, or about 20% of its workforce, Fast Company reports. The cuts come roughly a month after Redesign raised $65 million in Series C funding.
– A spokesperson for Redesign confirmed the layoffs, calling the cuts a “restructuring move.” “This move by Redesign was not financially driven—or was something that was related, connected to, or a requirement of the recent round raise,” the spokesperson tells Fast Company, adding that the engineering, product, marketing, and recruiting departments would be affected.
– CEO Brett Shaheen said in an email to employees that as part of the company’s “ongoing evolution, and given the need to prioritize in a challenging market,” Redesign would reduce the size of some teams, while also continuing to hire for others. “Through this, we believe we can create greater impact for our founders and partners,” Shaheen wrote.
– Founded in 2018 by Shaheen, Redesign researches, assembles, brands, and launches healthcare startups with the help of its team of entrepreneurs, healthcare industry operators, business analysts, and investors. So far, the company has launched more than 40 startups since its inception, including cosmetic treatment center Ever/Body and weight loss platform Calibrate. Redesign told Fast Company last month that the latest funding, which sources say brought its valuation to $1.7 billion, would benefit its own operations and platforms. The company had planned to create more than 25 new companies by the end of 2022.