Indonesian aquatech startup eFishery, which is undergoing a forensic audit following allegations of financial irregularities, is expected to continue to run its feeder business while its other divisions remain under evaluation by its new management.
The company has also appointed Martin Wong from FTI Consulting as its new CEO, replacing Adhy Wibisono, who stepped down from his role as interim CEO last month, sources told DealStreetAsia.
FTI Consulting has deployed a management team from the forensic audit team to lead the company’s restructuring. Wong is now overseeing eFishery’s transition, with a focus on business continuity and operational recovery, a source said.
According to a source familiar with the matter, FTI Consulting, which took over eFishery’s management earlier this month, is now assessing the company’s business units to determine its viability.
The new management team, led by Wong, a senior managing director at FTI Consulting, has begun a business viability review. This week, all divisions are presenting their current status to the new management team, which will determine whether specific business lines will continue operations or be permanently discontinued.
The feeder business, which has been the core of eFishery’s operations, is likely to survive, while other divisions may be discontinued based on the result of the feasibility studies, the source said.
The company has four business lines: eFisheryku (an e-commerce platform for fish farmers to get financing and sell their fish); eFeeder (an IoT-based automated fish feeding device which can be accessed from an application); eFarm (a consulting and educational platform for fish farmers); and eFresh (an e-commerce platform that facilitates direct purchasing from the farmers).
Despite eFishery’s financial troubles, the hardware division is said to have posted a turnaround—going from a negative gross profit of 1 billion rupiah ($617,000) to a positive 300 million rupiah last year ($18,535). This suggests that some areas of the business may still be viable.
“FTI is still assessing all divisions after their presentations this week,” said the source, who requested anonymity.
The new management is also exploring rebranding as part of its recovery strategy, but its effectiveness remains unclear due to the drastically reduced workforce. Additionally, selling eFishery’s patents is being considered as an alternative revenue stream.
Among eFishery’s recently registered patents is an IoT-based fish-feeding system with a dosing mechanism without a thrower, which was granted by the Ministry of Law and Human Rights on Oct. 28, 2024.
Regarding the ongoing situation within the company, DealStreetAsia has reached out to FTI Consulting and eFishery’s board.
Meanwhile, Aquaspark, one of eFishery’s early backers since 2015, declined to comment only stating that everything regarding eFishery will be clear in a few weeks.
90% workforce laid off
As part of its restructuring, eFishery has laid off 90% of its workforce. Feb. 13, 2025 was set as the final working day for most affected employees, said a source familiar with the matter. The mass layoffs were formally reported to Indonesia’s Ministry of Manpower (Kemnaker), with severance payments scheduled for Feb. 25, 2025.
eFishery had around 1,800 employees, so around 180 remain.
While employees were verbally promised Tunjangan Hari Raya (THR) bonuses—the thirteenth salary, given during religious holidays—there is reportedly no official written commitment guaranteeing these payments. Additionally, laid-off workers were given the option to buy back their company laptops, with the cost deducted from their severance pay.
The remaining employees primarily hold leadership positions, with some operational staff retained for essential functions. For example, the hardware division, which previously had 300 employees, now operates with only 16 staff members who are responsible for sales, field, and app activities.
Similar downsizing has taken place across other teams, including finance, general affairs, HR, and collections, where only a few dozen employees remain to handle outstanding accounts receivable.
The decision to lay off 90% of employees was made before FTI Consulting took over eFishery’s management, the source said. This means the layoffs were implemented under the leadership of interim CEO Adhy Wibisono and interim CFO Albertus Indra Sasmitra, who were appointed in mid-December 2024 with investors’ approval.
The source also acknowledged that Sasmitra stepped down as interim CFO this week.
