Bending Spoons to Reduce WeTransfer’s Staff by 75% Post-Acquisition

Italy-based app company Bending Spoons, known for owning Evernote and Meetup, is preparing to lay off 75% of the staff at WeTransfer, a file transfer service it acquired in July. The exact financial terms of the acquisition were not disclosed. According to Dutch media reports, WeTransfer employs over 350 people. Bending Spoons has confirmed the upcoming layoffs but will first adhere to local regulations in various countries before notifying affected employees.

Bending Spoons CEO Luca Ferrari detailed the company's method for managing acquisitions, explaining that the first step involves a rigorous assessment of the organization being acquired. This evaluation aims to develop a clear and cohesive strategic vision for the company’s future. The process often necessitates substantial changes to align the newly acquired company with Bending Spoons' long-term goals, which can include significant workforce reductions. Ferrari stressed that while these decisions can be challenging and may face resistance, they are viewed as crucial for ensuring the long-term viability and success of the business.

The goal is to streamline operations and concentrate the organization’s resources on its core objectives. This strategic focus involves critically evaluating and optimizing various aspects of the company to ensure that every effort aligns with its fundamental goals. By concentrating on these core objectives, the organization aims to enhance its operational efficiency, reduce redundancies, and strengthen its market position.

Ferrari believes that this targeted approach will enable the company to better harness its strengths and capabilities, creating a more agile and adaptable business model. Such a strategy is intended to not only improve immediate performance but also set the stage for long-term growth and sustainability. By focusing on essential activities and priorities, the company is positioning itself to navigate future challenges more effectively and seize opportunities for expansion and innovation.

In the case of WeTransfer, Ferrari mentioned that Bending Spoons plans to streamline the company to create a more focused and efficient team, which he believes will enhance WeTransfer’s long-term success. Since the acquisition, WeTransfer has introduced a new feature allowing users to extend the expiry date of their file-sharing links. However, details about future product developments have not been revealed by Bending Spoons or WeTransfer.

The planned layoffs follow a pattern for Bending Spoons, which has a history of reducing the workforce of acquired companies to improve profitability. For instance, in February 2023, Bending Spoons reduced Evernote’s staff by 129 employees, and in December 2023, it let go of the entire team at Filmic, a photo and video editing app acquired in 2022. Meetup also experienced job cuts earlier this year following its acquisition.

In February, Bending Spoons, a prominent Italy-based app company known for its ownership of Evernote and Meetup, successfully raised $155 million in equity financing. This significant investment was secured from a diverse group of investors. Durable Capital Partners, a key player in the investment space, was among the contributors. Baillie Gifford, another notable investor, joined the round, bringing its extensive experience in growth investments. Cox Enterprises, a major conglomerate with interests in various sectors, also participated, reflecting confidence in Bending Spoons' strategic direction.

Additional support came from NB Renaissance, NUO Capital, and StarTIP, the latter of which is controlled by Tamburi Investment Partners. Each of these investors brings a unique set of expertise and resources to the table, further enhancing Bending Spoons' financial and strategic positioning. This substantial funding round highlights Bending Spoons' commitment to expanding its portfolio and investing in future growth, particularly in light of its recent acquisitions and ongoing operational adjustments.