Refurbed Secures £44 Million Investment Following Workforce Restructuring

Funding Round Details

Austrian startup Refurbed has reportedly raised £44 million in a recent funding round, according to sources familiar with the matter. The investment comes approximately eight months after the company implemented significant workforce reductions, cutting 20% of its staff earlier this year.

Funding Round Details
Existing Investor Participation
Company Background and Expansion Plans
Workforce Changes and Financial Performance
Competitive Landscape

The funding round was reportedly led by Alex Zubillaga, a US investor known for previous investments in companies including Spotify and Spanish marketplace Wallapop. Sources indicate that Orilla, the investment vehicle of Spain’s Riberas family, also participated significantly in the round. The Riberas family has previously invested in companies including Vinted and Cabify according to investment records.

Existing Investor Participation

Analysis of the funding round reveals that Refurbed’s existing shareholders also participated in the investment. Reports indicate that Speedinvest, Evli Growth Partners, Bonsai, Almaz and C4 Ventures, the venture arm of UK TV network Channel 4, all contributed to the £44 million round.

Industry analysts suggest this latest funding represents a significant vote of confidence in the company’s direction, particularly following February’s workforce restructuring. According to the company’s statements, the layoffs were implemented as a response to what executives described as “prevailing geopolitical and regulatory conditions.”

Company Background and Expansion Plans

Founded in 2017, Refurbed operates as a marketplace for refurbished electronics including smartphones, laptops and tablets. The company currently operates in twelve European countries and reportedly plans to use the new capital to expand into the UK market.

Sources indicate this funding round does not represent Refurbed’s largest capital raise to date. The startup previously secured a $54 million Series B round in 2021 and a $57 million Series C round in 2023, according to financial records.

Workforce Changes and Financial Performance

Following the workforce reduction implemented in February, which affected 20% of employees, the company’s current headcount stands at approximately 270 people according to LinkedIn data. Despite the staff reductions, reports suggest the company achieved profitability in March and has experienced 40% year-on-year sales growth.

Peter Windischhofer, co-founder and CEO of Refurbed, reportedly stated that the difficult decision to reduce staff was necessary given market conditions, but that the company has emerged stronger and more focused.

Competitive Landscape

Industry analysis indicates Refurbed operates in a competitive space with several European startups focusing on the used electronics market. French company BackMarket is reportedly the best-funded competitor, having raised over $1 billion in total funding. Sources indicate BackMarket also implemented workforce reductions in 2022, cutting 13% of staff, but subsequently reported profitability last year.

Finnish startup Swappie, which has raised approximately $169 million according to reports, represents another significant competitor in the refurbished electronics marketplace sector. Market analysts suggest the sector continues to attract investor interest despite broader economic challenges affecting technology companies.