Investors in Byju’s, a prominent edtech company, are pushing for changes in leadership. They’ve called for a special meeting to address long-standing concerns about governance, financial management, and compliance issues. The investors, including Prosus, General Atlantic, Peak XV, Chan Zuckerberg Initiative, Owl Ventures, and Sofina, believe a shift in leadership is necessary for the company’s betterment.
Tensions between investors and Byju’s founders have grown over the past year, leading to the resignation of key board members and global auditor Deloitte. The latest development comes shortly after Byju’s launched a rights issue at a significantly reduced valuation of $25 million, down 99% from its initial ask of $200 million.
Byju’s founder, Byju Raveendran, addressed shareholders in a letter, seeking their continued support. Raveendran highlighted the founders’ significant personal investments, totaling $1.1 billion, much of which was borrowed capital, in the last 18 months. He emphasized the founders’ dedication to the company’s mission and the sacrifices made for its success.