Big Cabal Media (BCM), the parent of TechCabal, Zikoko and Citizen, has laid off 19% of its workforce due to “harsh market conditions”. “This is a challenging decision in a year that has tested us immeasurably, and we empathise with the talented employees affected by this decision. For those leaving, we appreciate the hours and backbreaking work you’ve put in to move our mission forward,” the company said in an internal memo to employees on Friday, August 4.
Its new publication focused on politics and governance in Nigeria, Citizen is the most affected by the layoff. “In a different business environment, we intended for Citizen to have 12-18 months to figure out sustained revenue streams,” BCM said in a statement.
In the first half of this year, BCM's revenue went up by 180% year-on-year. However, the company describes it as a “significant growth that still did not match its budgetary expectations”. The Nigerian currency devaluation in June affected the revenue projections of various venture-backed companies in the country including BCM.
According to a statement seen by Bendada.com, all affected employees will receive salaries for this month and next month. “Today’s decision isn’t pleasant, but those leaving us can take pride in their work and their impact,” says Tomiwa Aladekomo, BCM’s CEO. “For those of us who remain, know that we are as committed as ever to building one of the most important media businesses on the continent. That mission continues, and you can be proud to contribute to it.”
The media company intends to focus on growing its tech media outlet TechCabal and its youth culture magazine Zikoko as part of its plans to become a “more efficient and self-sustaining business” by next year.