Zagster, a local startup that has been offering bike-share programs since late 2007, has made a round of layoffs for the second time this year.
The company said to BostInno on Tuesday that a number of employees were affected by a restructuring and laid off.
It’s the second time that layoffs have occurred at the company since the beginning of the year. In March, Zagster said that an unspecified number of employees were laid off as part of, again, a restructuring plan.
"Zagster went through a restructuring to focus on existing bike shares and imminent strategic partnerships," the company wrote in an email. "This shift calls for a specialized Zagster organization that prioritizes operations in existing programs and locations with legitimate sponsorship and recurring revenue opportunities."
The statement goes on: "Ultimately, some team members were let go. We're incredibly grateful for their contributions in making Zagster one of the leading dockless bike share service providers in the country with more than 98% of existing bike shares turning a profit; we are working hard to support impacted employees during this transition period."
Headquartered in Boston with additional offices in San Francisco and Philadelphia, Zagster was founded in 2007 by Jason Meinzer and Timothy Ericson. In February, it raised a $15 million growth equity round led by Edison Capital Partners, which brought the company's total funding to date to $31.1 million. Other investors include LaunchPad Venture Group and LaunchCapital.
In early 2017, the company had about 90 employees and said it expected to hit 100 by the end of the year.
