Byju's initiates salary payments for march amid investor dispute

Edtech giant Think and Learn, the parent company of Byju's, has started the disbursement of March salaries to its employees after a nine-day delay, with the payout process expected to conclude within the next 10 days, sources revealed.

In a communication addressed to its workforce, Byju's attributed the delay in salary payments to the actions of a group of four investors. The company expressed regret over the situation and assured employees that it had arranged alternative funding sources to ensure timely payments.

The delay comes in the wake of Byju's raising $200 million through a rights issue, with the aim of fulfilling operational requirements, including meeting salary expenses.

The group of investors in question, namely Prosus, General Atlantic, Sofina, and Peak XV, alongside support from other shareholders such as Tiger and Owl Ventures, have reportedly taken legal action by approaching the National Company Law Tribunal (NCLT). This move has led to delays in accessing the rights issue funds, resulting in the disruption of salary payments.

Byju's emphasized its appreciation for the patience and understanding demonstrated by its employees during this challenging period.

(With PTI inputs)