Last week, reports emerged regarding the anticipated launch of ‘Jio Smart Daily,’ a new platform under Mukesh Ambani’s Reliance Retail. Following this news, it was speculated that the Reliance-backed startup Milkbasket would undergo layoffs.
Milkbasket Confirms Integration with JioMart, Denies Workforce Reduction
However, a spokesperson has refuted these reports, confirming that the company is integrating with Ambani’s e-commerce venture, JioMart. Additionally, Milkbasket has firmly denied any plans of downsizing its workforce.
Milkbasket’s Remarkable Growth Under Reliance’s Financial Backing
Milkbasket, in which Reliance Retail holds an impressive 96.49% stake, has witnessed remarkable growth with the support of Mukesh Ambani’s backing. The company has expanded its presence from operating in just three cities to nearly 30, thanks to Reliance’s involvement.
Transformation and Rebranding Under ‘Jio Smart Daily’
As Milkbasket integrates with ‘Jio Smart Daily,’ significant transformations are expected. Reliance reportedly plans to rebrand the Milkbasket app under the Jio brand as part of the integration process.
Realignment of Roles, but No Employee Terminations
In response to the layoff rumors, the company clarified that there may be some realignment or reallocation of roles within the group. However, they emphasized that no employees would face termination. Despite experiencing turnover in senior and mid-level positions, the company maintains that no layoffs are taking place.
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Background: Reliance’s Acquisition and Expansion
Reliance acquired a substantial 96.49% stake in Milkbasket during the second quarter of FY22. The acquisition, officially disclosed in October 2021, was estimated to be in the range of $40-45 million, according to Entrackr sources. Prior to this, Milkbasket had raised around $33 million from investors like Mayfield, Unilever, Beenext, and Blume Ventures. With Reliance’s support, the company expanded its operations from the Delhi-NCR region to serving customers in approximately 30 cities across India.
