Canada-based ecommerce Shopify to reduce its workforce by 20 per cent. Also, it plans to sell its logistics arm, Deliverr, to end-to-end trading platform Flexport, according to media reports.

For the first quarter of 2023, Shopify reported a 25 per cent rise in total revenues to USD 1.5 billion. On the back of the better-than-expected revenue, ecommerce platform's shares in pre-market trading surged by 17 per cent.

However, despite performing well, Deliverr will now transfer its fulfilment business, which it bought less than a year ago for USD 2.1 billion, to Flexport in exchange for 13 per cent equity. The transition has yet to be approved by regulators. It will be led by Harsh Abbott, CEO of Deliverr.

CEO of Shopify, Sumit Shah, tweeted that Wow Skin Science, a marquee seller on Shopify India, has also shifted its entire online store to Dukaan's platform. He added, "It shows the robustness of Dukaan to handle large-scale operations."Shopify is one of the investors in Flexport.

The platform partnered with Shopify earlier this year to give the latter's merchants access to its freight services.

Shopify To Reduce Headcount, Plans To Sell Logistic Arm To Flexport

Deliverr to transfer its fulfilment business, which it bought less than a year ago for USD 2.1 billion, to Flexport in exchange for 13 per cent equity