Spend management startup Pleo makes layoffs

Pleo, the Danish spend management startup, has laid off workers, following changes it introduced earlier this year regarding how it launches new products and services. The job cuts took place during September and October, with up to 100 workers laid off, sources told Tech.eu.

Those impacted mostly worked across commercial, including leadership roles, and those who worked with Pleo’s SMB clients, sources said. The UK division of Pleo, which operates across Europe, has been hit by the cuts. Pleo confirmed the layoffs, but did not confirm the number impacted.

A spokesperson for Pleo said: “Earlier this year, we made changes to our go-to-market strategy as we seek to take advantage of the enormous opportunity we see in key markets across Europe.

“As part of these changes, a number of colleagues left Pleo during September and October. This was a difficult decision, but one that will enable our business to accelerate its growth through investment in our product offering and go-to-market technology.”

Pleo also made job cuts in 2022, laying off around 15 per cent of its workforce. Pleo, which started life in Copenhagen in 2015, was co-founded by fintech veterans Jeppe Rindom and Niccolo Perra. It employs more than 800 people, according to the company’s website.

The Danish startup, which has raised more than $430 million in funding, provides European businesses with various spend management tools including company cards, employee expense reports, credit and treasury products. In 2021, Pleo, which is backed by Creandum and Seedcamp, raised $150m at a $1.7bn valuation, and six months later raised another $200 million at a valuation of $4.7 billion.

But this year, investor Kinnevik cut the value of its stake, giving Pleo an implied valuation of $1.62bn. Pleo says its services are used by over 40,000 businesses. As well as Copenhagen, it has offices across Europe, including London, Madrid and Berlin. In 2024, Pleo reported a 37 per cent year-on-year revenue growth, driven by a 56 per cent rise in SaaS revenue.