Smaaash shuts down – founder calls it a ‘premature death’ for the company

Founder Shripal Morakhia along with brand ambassador of Smaaash Sachin TendulkarBCCL
  • Gaming and entertainment operator Smaaash is shutting down as malls continue to see lower footfalls due to the coronavirus pandemic.
  • Smaaash had been scouting for investors for a while, and had even received ‘word’ for investments, but that didn’t culminate into funding.
  • The gaming centre is one of the first companies with a large presence to shut shop because of the pandemic.
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Gaming and entertainment operator Smaaash is shutting down as malls continue to see lower footfalls due to the coronavirus pandemic. The popular gaming centre’s founder wrote an email to employees announcing the shutdown, reported ET.

“I am sorry that despite my best efforts I have failed in my efforts to save the company from its premature death,” wrote the founder Shripal Morakhia. According to reports, Morakhia had been looking for investors for the company for a long time and had even received ‘word’ for investments, which didn’t culminate into funding.

Dreams Smaaash’ed

Smaaash is one of the first companies with a large presence to shut their doors because of the pandemic. Smaaash had over 650,000 sq ft space in operations with over 41 gaming zones. Indian cricketer Sachin Tendulkar was the brand ambassador of the company.
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This is a major turn in the fortunes of a company, which in 2019 had seen its revenue cross ₹300 crore. The eight-year-old company had so far raised $82.6 million in funding. In 2018, the company was also hoping to head for an IPO.

LinkedIn posts of employees suggest that the company had also stopped paying employees for months and was unable to pay further.

Malls were shut for over three months due to the pandemic, putting immense pressure on retailers and mall operators. Even with the malls reopening from June, footfalls have still been in lower numbers as people are scared to venture out of their homes.
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