Digital news platform Nukta, launched barely a year ago and financially backed by real estate magnate Malik Riaz, has laid off 37 members of its Pakistan team.
The layoffs, attributed by sources to a push from sponsors to cut costs and mitigate significant financial losses, signal a severe liquidity crunch for the venture’s principal investor. Nukta officially launched in November 2024 with a large team of high-profile journalists, operating on a business model reliant on platform revenue and sustained by the financial backing of the Bahria Town owner.
However, the launch coincided with mounting legal and financial troubles for Malik Riaz, including the seizure of billions of rupees worth of assets by the state to recover outstanding fines. A recent major action saw the government seize 1,500 kanals of his Lahore property (valued at approximately Rs 1.5 billion) to recover a Rs 125 billion fine imposed by the Supreme Court.
In a social media statement, Nukta cited a "recent restructuring" as the reason for the "difficult decision," claiming it was necessary for the company’s "long-term sustainability."
In a swift response to the crisis for the media workers, Federal Minister Attaullah Tarar announced that the Ministry of Information Technology and Telecommunication (MOITT) will provide jobs to all 37 laid-off employees, assuring journalists that the government stands ready to protect their livelihoods.
