Byju’s founder says his edtech startup, once worth $22B, is now ‘worth zero’
New Delhi: Byju Raveendran, the founder of troubled edtech firm Byju's, on Thursday said that he is willing to pay back all the money owed to lenders if they are willing to work with him.
During a two-and-a-half-hour call with the media, Mr Raveendran said lenders will not get any money if the process of insolvency against the company continues.
"If they are willing to work with me, I am willing to give them money back before I take a single rupee out. We paid $140 million but they wanted the entire $1.2 billion which we had already committed or invested by then. There is no way we could have given them back for a long time. Most lenders wanted to settle but one or two wanted to make a killing out of it," Mr Raveendran said.
At present, Byju's is undergoing insolvency proceedings, triggered after the BCCI approached the National Company Law Appellate Tribunal to recover its ₹ 158.9-crore dues. The company settled the dispute with BCCI after paying the entire dues following which NCLAT revoked the insolvency proceedings.
However, US lenders through their agent Glas Trust challenged the NCLAT order in the Supreme Court which restored the insolvency proceedings against the edtech firm.
Byju's has raised a $1.2 billion Term Loan B (TLB)-- a loan which is issued by institutional investors --through its holding company Byju's Alpha, from US-based lenders.
The trouble for Think and Learn, which owns the Byju's brand, began after the lenders through Glas Trust approached Delaware Court of Chancery alleging default in the payments under the loan agreement and sought early payment of the $1.2-billion TLB.
The US-based lenders through Glas have filed claims of $1.35 billion dues in Indian courts during ongoing insolvency proceedings against the edtech firm.
In the latest statement, the lenders have raised their total claim to $1.5 billion.
Mr Raveendran said that no money raised from US lenders has come to India as it also needs permission from the Reserve Bank of India.
He said that there are some aggressive lenders who initiated a case against the company and they don't care about stakeholders in the business as it is their business model to make money out of distress.
Mr Raveendran said that all the deals and acquisitions were approved by the Byju's board, which included leading investors.
"Most of the acquisitions were brought in by the investors and we got carried away. Investors wanted us to launch in 40 countries together. Investors celebrated when we raised a $1.2-billion loan," Mr Raveendran said.
Byju's board member representing Peak XV Partners, earlier known as Sequoia Capital India, Prosus and Chan Zuckerberg Initiative resigned from the company in June 2023.
Mr Raveendran said that investors resigned from the board after Glas Trust filed a case in the Delaware court assuming that the liability to pay back the loan would fall on them.
He said that, over the years, only managers have left the company and five out of six owners of Byju's are still with the firm.
Mr Raveendran said that he is hopeful of making a big comeback after the insolvency issue is resolved.
"Our subsidiary has not taken any hits. At a consolidated level, we will have more than ₹ 5,000 crore in revenue. We are struggling in the core business which has become zero. Still, there are 200 million kids who come to our platform every month. We have to revamp and revive," he said.
Mr Raveendran said that whatever may be the result of litigation, he will continue to teach and nobody could stop him from teaching students.
"Investors will come back when they see value," he said.
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Kohli's U-19 teammate Amanpreet Singh Gill dies at 36
New Delhi (PTI): Former India U-19 and Punjab medium pacer Amanpreet Singh Gill died at the age of 36 in Chandigarh on Wednesday, leaving the cricket fraternity in mourning.
The cause of death is not yet known.
Gill, who was Virat Kohli's U-19 teammate, featured in six first-class matches for Punjab, picking up 11 wickets.
He was also part of the Punjab franchise (Kings XI Punjab) in the inaugural Indian Premier League season, and later served as a member of Punjab's senior selection committee.
"Punjab Cricket Association deeply mourns the sad demise of Amanpreet Singh Gill, former Punjab cricketer and Member, Senior Selection Committee Punjab,” the Punjab Cricket Association announced on X.
"Our heartfelt condolences to the bereaved family and loved ones. May Waheguru grant eternal peace to the departed soul and strength to the family in this difficult time."
Two-time World Cup-winning India all-rounder Yuvraj Singh also paid tribute to Gill.
"Deeply saddened to hear about Amanpreet Singh Gill’s passing. Shared the dressing room in our early days, he was a quiet, hardworking cricketer who loved the game. My heartfelt condolences to his family and loved ones. Rest in peace Om Shanti,” Singh posted on X.
Gill played five Youth ODIs and one Youth Test for India in 2007.
In the longer format, he claimed the wicket of former Sri Lanka all-rounder Thisara Perera.
However, he did not make the Virat Kohli-led India U-19 side that went on to win the 2008 World Cup.
“Deeply saddened by the passing of Amanpreet Singh Shergill, who proudly represented Punjab and was a part of the Punjab Kings family. Our heartfelt condolences to his family, friends, and the entire cricketing fraternity,” Punjab Kings posted on their official Instagram account.
