Hinge Health, a 9-year-old company that offers a digital solution to treat chronic musculoskeletal (MSK) conditions, cut about 10% of its workforce on Thursday, TechCrunch has exclusively learned.
The company said those laid off worked in a variety of roles; according to employees posted on LinkedIn, some were engineers. Before the layoffs, Hinge had more than 1,700 employees, according to a LinkedIn estimate.
“As we continue to reinvent musculoskeletal care, we are also committed to building a long-term sustainable business,” a company spokesperson said in a statement. “To accelerate our path to profitability, accelerate decision-making and better target our investments, we have made the decision to realign our organization. We are incredibly grateful for the contributions of all of our departing team members and we strive to support them through this transition.
The layoff comes as the company prepares for an IPO and aims to achieve profitability.
The company has not commented on the timing of its IPO, but Hinge previously said it was not under pressure to enter the public markets this year since it still has $400 million in cash on its balance sheet.
The hinge was last valued at $6.2 billion in October 2021 when it raised a $400 Series E from Tiger Global and Coatue Management. The company has raised a total of $828 million, according to PitchBook data.
The company’s main competitor is Sword Health, backed by General Catalyst and Khosla Ventures, which was last valued at $2 billion in November 2021.
techcrunch
