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Byju’s, India’s leading edtech company, has agreed to renegotiate the terms of its $1.2 billion loan with lenders. The lenders, who collectively own more than 85% of the loan, have tentatively agreed to work collaboratively towards an amended term loan agreement. If successful, this will prevent the lenders from demanding accelerated repayment and potentially resolve ongoing litigation. Byju’s has faced a series of challenges recently, including the resignation of its auditor and key investors from the board, and disagreements with lenders over the loan. The original loan agreement, signed in 2020, was used to finance the acquisition of online coding platform WhiteHat Jr. The company’s financial difficulties in 2022, including a sharp decline in valuation and layoffs, led to the renegotiation of the loan terms. The new agreement is expected to include a lower interest rate, longer repayment period, and reduced debt requirements. It may also address corporate governance practices, such as adding independent directors to the board and improving financial transparency. While this agreement is a positive step for Byju’s, the company still faces challenges in raising capital and regaining investor trust.