NEW DELHI: Byju’s has deferred clearing the remaining dues of a batch of its laid off workers to November. “We regret and acknowledge the delays in settling dues of former employees. As we work through a difficult business restructuring, we are committed to meeting all our obligations as soon as possible,” the corporate mentioned in a press release.
In June this yr, the troubled edtech agency had laid off some 500-1,000 workers in a bid to examine prices, its second vital price reducing train since October final yr. The workers (these laid off in June) have been earlier slated to get their remaining settlement by September, an organization spokesperson mentioned.
The event comes at a time when the troubled agency has put its items Nice Studying and Epic on the block in a bid to repay the $1.2 billion time period mortgage to its lenders it had raised in 2021. The corporate which in its peak had spent billions of {dollars} on acquisitions has been engaged in negotiations with its lenders to transform the mortgage phrases after having missed an preliminary August deadline for a similar. In a latest growth, the lender consortium in a submitting with a US courtroom has alleged that Byju’s hid $533 million raised as a part of the $1.2 billion mortgage in a lesser identified hedge fund Camshaft Capital Fund. The edtech startup denied the allegation, saying that it has invested the cash in excessive grade fastened earnings belongings.
Valued at $22 billion at its peak, Byju’s is battling a sequence of crises and has come underneath the scrutiny of authorities following the resignation of its former auditor Deloitte and three board members in late June. Not too long ago, the CEO and CFO of its prized asset Aakash Instructional Providers (AESL) additionally stop, nudging the corporate to arrange an government committee tasked with steering the affairs at its take a look at prep unit. In its newest markdown by investor Prosus, Byju’s was valued at $5.1 billion.
In June this yr, the troubled edtech agency had laid off some 500-1,000 workers in a bid to examine prices, its second vital price reducing train since October final yr. The workers (these laid off in June) have been earlier slated to get their remaining settlement by September, an organization spokesperson mentioned.
The event comes at a time when the troubled agency has put its items Nice Studying and Epic on the block in a bid to repay the $1.2 billion time period mortgage to its lenders it had raised in 2021. The corporate which in its peak had spent billions of {dollars} on acquisitions has been engaged in negotiations with its lenders to transform the mortgage phrases after having missed an preliminary August deadline for a similar. In a latest growth, the lender consortium in a submitting with a US courtroom has alleged that Byju’s hid $533 million raised as a part of the $1.2 billion mortgage in a lesser identified hedge fund Camshaft Capital Fund. The edtech startup denied the allegation, saying that it has invested the cash in excessive grade fastened earnings belongings.
Valued at $22 billion at its peak, Byju’s is battling a sequence of crises and has come underneath the scrutiny of authorities following the resignation of its former auditor Deloitte and three board members in late June. Not too long ago, the CEO and CFO of its prized asset Aakash Instructional Providers (AESL) additionally stop, nudging the corporate to arrange an government committee tasked with steering the affairs at its take a look at prep unit. In its newest markdown by investor Prosus, Byju’s was valued at $5.1 billion.
