Tuesday, July 16, 2024
Outlook India
Outlook Business

Edtech Startup News

On Monday, the ministry sought to expedite the inspection and submission of the report regarding BYJU's. Specific details about the inspection could not be immediately ascertained.

Byju Raveendran stated in an internal letter to shareholders that to ensure transparency regarding the usage of funds raised through the rights issue, the company will appoint a third-party agency to monitor it.

The company terminated the rental agreements for the property at Prestige Tech Park earlier this year.

BYJU'S floated a rights issue in January to raise $200 million through an equity rights issue at an enterprise valuation in the range of $220-250 million which is a 99 per cent reduction in its peak valuation of $22 billion.

The extraordinary meeting, expected to convene on Friday, will see the company's major shareholders voting to remove Byju Raveendran, Divya Gokulnath, and Riju Ravindran from the board of Think & Learn.

Manipal Group chairman Ranjan Pai is set to become the largest shareholder in Aakash Institute with a 40 percent stake in the company after the legal win.

BYJU's stated that the company is committed to having a dialogue, even as the founders and leadership work on finding ways to address its increasing obligations.

The news comes after reports of Prosus NV, a Netherlands-based global investment firm, sent a notice to Ranjan Pai

This is significantly lower than the edtech's last funding round where its valuation stood at $22 billion

Aakash Institute's board approved converting Pai's $300 million investment in 2023 into equity