Due to the ongoing crisis, the edtech company Byju’s has asked its 14,000 workers to work from home and has closed all of its offices save for its Bengaluru headquarters.
With the exception of IBC Knowledge Park in Bengaluru, where more than 1,000 employees are employed, sources told NDTV Profit that the edtech behemoth has left all other office buildings in the nation.
As a cost-cutting measure, the company did not renew several of its contracts for offices across cities, which resulted in the ongoing process over the past few months, according to NDTV Profit.
Nonetheless, the report stated that about 300 of Byju’s tuition centers—physical locations where students in classes 6–10 study—will remain open.
In addition to having cash flow issues, Byju’s is in conflict with creditors regarding a $1.2 billion loan. In the last year, Byju’s valuation has dropped by an estimated 90% from its peak valuation of over $20 billion.
Major Byju Raveendran supporters voted last month to deprive Byju of his chief executive officer (CEO) position and his
The move was rejected by Byju’s, which said the resolution was passed at a meeting attended only by a “small cohort of select shareholders”. “Byju’s firmly declares that the resolutions passed during the recently concluded extraordinary general meeting… are invalid and ineffective,” the company said in a statement.
Key investors have stopped supporting Byju Raveendran as a result of a string of crises, which include the resignation of Deloitte’s auditor due to concerns about corporate governance and the legal battle with US lenders. In a letter to the employees sent last month, Mr. Raveendran stated that the company could not process the February salaries because the investors were still blocking its funding.
