Byju Raveendran raises personal debt to cover March salaries

Byju’s crisis: Edtech firm Think and Learn, parent company of Byju's, has me partial salary payments to its employees for month of March, according to sources. Byju Raveendran, Founder and CEO of Think and Learn, reportedly used personal debt to cover a portion of March salaries.

salary disbursements for Byju's employees are estimated to range between Rs 25-30 crore. Employees received ir payments on Saturday, April 20, with amounts varying between 50-100 per cent of ir regular salaries.

Sources revealed that Byju h to secure ditional personal debt to fulfil salary obligations, as funds from a rights issue remain unavailable due to blockages by foreign investors.

Teachers and employees at lower levels within company received full salary payments.

Earlier, Think and Learn h raised $200 million through a rights issue, aiming to dress operational needs, including employee salary commitments.

However, a consortium of investors, including Prosus, General Atlantic, Sofina, and Peak XV, along with or shareholders such as Tiger and Owl Ventures, have initiated legal action against founders and rights issue, potentially leing to changes in company's shareholding structure.

case is scheduled for a hearing at National Company Law Tribunal (NCLT) on April 23.

Sources expressed concerns about sustainability of paying salaries through personal debt, particularly highlighting potential complications in situation, especially as legal proceedings progress.

(With PTI inputs)