Last week I reported that the meditation and wellness app company Headspace had laid off a good chunk of its employees, amid a structural shift and some internal cultural woes. It seems this may have been part of a grander scheme to keep Headspace going; Fortune reports that the company has now raised $36.7 million in a new round of funding.
The company told Fortune that the new round is part of its expansion, which will focus on corporate memberships. Over the last year it had been focusing on some expensive marketing, sources told me, as well as facing stiffer competition. Employees also indicated that, after a recent leadership change, morale has been low. It seems like now Headspace is trying to refocus after these hiccups.
You can read my report here.