Manipal Group Eyes Full Takeover Of Byju’s, Submits EOI Under Insolvency Process: Sources
Other potential bidders are still weighing their options ahead of the November 13 deadline for EOI submissions.
The Manipal Group has submitted an expression of interest (EOI) to acquire embattled edtech firm Byju’s under the ongoing insolvency proceedings, sources told NDTV Profit. The group is reportedly aiming for a complete takeover of the company. Meanwhile, other potential bidders are still weighing their options ahead of the November 13 deadline for EOI submissions. The resolution professional may consider extending the deadline if required, sources added.
Turmoil for Byju's began when tech investor Prosus in June 2023 cut Byju's valuation by 75%, leading to layoffs and allegations of financial mismanagement.
The huge blow came after the company reached a valuation of $22 billion in 2022 as its popularity rose by offering online and offline education courses during covid pandemic.
After valuation cut the Byju's parent company, Think & Learn Pvt Ltd., faced scrutiny for not paying PF money to employees and was also suspended by Google and Facebook for non-payment of ad dues.
Last year, speaking to media, Byju's founder Byju Raveendran said the Term Loan B is where it all started going wrong, apart from the liquidity crunch due to the turning of the markets.
"End of May 2023, the lenders called a default and filed in Delaware. A month later, the three board members resigned. Those three resigned together; even the lenders didn't expect it. That made it almost impossible for any fundraising. Even if they wanted to plan and resign, the company wouldn't have been the way it is today," he said.
