BNPL startup ZestMoney to shut down, to let go of remaining 150 employees

Buy now pay later startup ZestMoney will be shutting down amid regulatory uncertainty and a failed attempt to revive its business under a new management. The management informed employees in a townhall on December 5 that it will be winding down operations and will let go of the remaining 150 employees. It will retain a skeletal legal and finance team to see through the shut down. The move comes months after its founders stepped down, leaving the firm in the hands of investors and a new management. ZestMoney started unravelling after PhonePe called off acquisition talks. ZestMoney was last valued at $450 million. The company said its turnaround plan, dubbed ZestMoney 2.0 or ZeMo 2.0 didn't take off.

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