In the lifecycle of a tech company, they tend to expand first and build out a network before monetization. It's been the same with Hemnet in Sweden, with monetization not starting until a few years ago.
But I also think that PropertyGuru has been rudderless since the co-founders quit in 2016. Perhaps yet another example run for insiders rather than for shareholders.
That said, I do think KKR and TPG want a return on their investment, and now that the listing failed to achieve desired exit liquidity, they'll tighten up the cost structure instead. The hiring of Ray Ferguson - a former banker - is a sign that change is afoot. They just cut 5% of their workforce, another step in the right direction.
as a tech company why are their margins so low?
In the lifecycle of a tech company, they tend to expand first and build out a network before monetization. It's been the same with Hemnet in Sweden, with monetization not starting until a few years ago.
But I also think that PropertyGuru has been rudderless since the co-founders quit in 2016. Perhaps yet another example run for insiders rather than for shareholders.
That said, I do think KKR and TPG want a return on their investment, and now that the listing failed to achieve desired exit liquidity, they'll tighten up the cost structure instead. The hiring of Ray Ferguson - a former banker - is a sign that change is afoot. They just cut 5% of their workforce, another step in the right direction.
Thanks for the detailed response 👍🏻