Byju’s Founder Blames Investors, Eyes New Edtech Venture, States $533 Million Funds Depleted
- Byju Raveendran plans to launch a new edtech venture at half the cost upon his return to India from Dubai.
- The $533 million in funds from Byju’s have been committed to future expenses and are unavailable to lenders.
Byju Raveendran, founder of the bankrupt edtech giant Byju’s, plans to relaunch a new edtech venture at “half the cost” upon his return to India from Dubai. Speaking from Dubai, where he is staying for his father’s medical treatment, Raveendran insisted he had not fled and emphasized his continued commitment to education.
Addressing the company’s downfall, Raveendran criticized investors, saying they shared the blame for the company's current predicament.
“Investors didn’t care about students or parents, they just wanted me to create a $100-billion company,” he remarked.
According to Raveendran, Byju’s top investors, including Sofina, Peak XV, Prosus, and General Atlantic, backed every move but “ran away” when challenges arose. These investors moved to oust him earlier this year, citing mismanagement.
Despite the company’s core business currently reporting zero revenue, Raveendran stated that Byju’s 26 subsidiaries, such as Aakash Education Services and Great Learning, still report an annual recurring revenue of ₹5,500 crore.
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On the controversy over $533 million funds, Raveendran explained that the money had been committed against future expenses, making it unavailable for lenders. This contrasts with earlier claims that the funds were kept safe overseas.
Responding to auditors Deloitte and BDO’s resignations, he maintained that the decision to restrict audit access was intentional due to delays in previous audits. He expressed his commitment to education and stated that even if the current company, Think & Learn, is shut down, he is determined to find other ways to teach and continue his work in the edtech space.
Edited by Harshajit Sarmah
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