NEW DELHI — Online home furniture and furnishings retailer FabFurnish.com became the second company in less than a day in which investors asked the founders to step aside.
Co-founders Vikram Chopra and Mehul Agrawal have quit as the chief executive officer and managing director, respectively, the company said in a statement. The announcement was made by Berlin-based Rocket Internet SE, which is a major investor in FabFurnish along with Sweden’s Investment AB Kinnevik.
Ashish Garg and Ankita Dabas, both senior directors, will now head the firm. FabFurnish is in a tussle with e-commerce players such as Urban Ladder and Pepperfry to gain more customers in an intensely competitive market.
"We plan to reposition to keep pace with the evolving market trends and customer preferences in the near future. In order to achieve this goal, the company has restructured its senior management to bring about a 360-degree reformation in the work culture and organisational composition," a company statement said.
Earlier on Wednesday, Housing sacked co-founder and CEO Rahul Yadav, citing issues with his conduct that led to multiple controversies. But unlike Housing, which broke off all relationship with Yadav, FabFurnish will retain Chopra and Agrawal as advisors to the startup.
Rocket Internet has been concerned about the performance of its brands in India. Recently, it changed the management of Foodpanda India, the online food ordering service that faces a big competition in Zomato, which recently started a similar service. Other brands that Rocket Internet has invested in India include Jabong, the e-commerce company, and PricePanda, Couponation, OfficeYes, PrintVenue and Wimdu.
Rocket has been known to copy business models of successful startups in the online space, such as Groupon Inc, Airbnb and Alibaba, and adapting them in other markets.