SoftBank-Backed Rappi Hit by Cuts, Trade-Secret Theft Claims

  • Colombian delivery app and CEO sued in U.S. federal court
  • Rappi calls allegations in lawsuit ‘objectively incorrect’

Rappi riders in Bogota.

Photographer: John Vizcaino/AFP via Getty Images

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Rappi Inc., a SoftBank-backed tech company that has become one of Latin America’s most valuable startups, is grappling with layoffs as it also fights claims in a U.S. court that it stole trade secrets to develop its delivery business.

The Bogota-based company said it’s cutting 6% of its workforce as it adjusts its technology team. It’s also defending against a lawsuit in San Francisco federal court in which three Colombian entrepreneurs allege Rappi’s co-founder copied their plans when he developed the application.