byjus alpha

Byju's Alpha is accused of hiding $500 million from creditors. The dispute is the latest setback for the high-flying startup founded by Byju Raveendran. Byju's had already been working to appease creditors trying to restructure a $1.2 billion term loan when government investigators searched company offices in April.

Byju's Alpha Inc, a unit of Byju's, filed for bankruptcy in the US due to its $1.2 billion debt. The company lacks funds to continue fighting with its parent company. Parent company Byju’s, an online-education pioneer, continues to run its business in India and beyond even as the fight with creditors threatens its prospects.

Byju's, the Indian edtech giant, has faced another setback as a US court ruled in favor of its lenders. The court stated that the lenders' move to replace Riju Raveendran with their representative as the director of Byju's Alpha, the US subsidiary, is valid. The ruling comes after instances of default by Byju's, including a failure to provide audited annual financial statements and a guarantee default by its subsidiary WhiteHat Jr. Byju's is currently selling assets to repay the loan.

Lenders to Indian ed-tech company Byju's have cited a default on a $1.2bn loan when taking over control of a unit of the company, according to a Delaware judge. The lenders, including Redwood Investments and Silver Point Capital, replaced a relative of Byju's founder on the board with their own nominee. The lenders have been pushing for repayment of the loan as the company faces mounting distress, with some investors writing down their stakes. Byju's had been working to sell assets and resolve the loan issue.

The edtech major’s fall hit a new inflection point in Dec 2025, when a US court issued a $1.07bn default judgment tied to the disputed $533mn Alpha funds, even as founder Byju Raveendran denies wrongdoing and battles insolvency and creditor claims across continents

Even as a group of Byju’s major investors are seeking removal of the troubled startup’s founder and group CEO Byju Raveendran from leadership position and reconstitution of the company’s board which now has been pretty much reduced to a family-run entity, Raveendran has given a clear indication that he is not going to step down from the top post.

The Delaware Supreme Court has confirmed that Byju’s is in default on a $1.2 billion loan, allowing US lenders to take control of its unit, Byju’s Alpha. The court validated the lenders' move to appoint Timothy Pohl as sole director, emphasizing that Byju’s must be accountable for its defaults.

Glas Trust's lawyer alleged in US bankruptcy court that Byju Raveendran discussed unofficial payments with Indian officials regarding regulatory penalties. Byju's founders deny the claims and plan legal action against involved parties in the US case, seeking damages of at least $2.5 billion. This follows a notice to Byju's for alleged FEMA violations.

A US bankruptcy judge has ordered Indian technology company Think & Learn Pvt, operating as Byju's, to freeze $533 million. This directive serves to safeguard the funds for discontented lenders who argue that the money should exclusively be utilized for their repayment. While this decision by Judge John Dorsey offers partial relief to the lenders, it marks a significant move in their favor.

A US bankruptcy court has slapped Byju Raveendran with a default judgment exceeding $1.07 billion. This severe penalty stems from his repeated failure to comply with court orders regarding discovery in a case alleging fraudulent transfer of company funds. The court cited a "pattern of delay and obfuscation" as justification for the substantial award.

Byju’s interim resolution professional Pankaj Shrivastava has convened a committee of creditors meeting to vote on a permanent resolution professional. Glas Trust Company, holding 99.41% voting rights, can pass its preferred nominee. Previous resolution decisions were criticized by NCLT, leading to potential disciplinary action and Misconduct investigation, amid insolvency proceedings involving dues owed to BCCI.

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Edtech firm, Byju's, is reportedly planning to cut around 1,000 jobs, mainly affecting on-ground sales staff. Byju's has been implementing cost-cutting measures to optimize operations since last year, having already let go of around 1,000 employees earlier this year and more in October 2020. The company is also fighting lawsuits against lenders who have proposed taking over its US entity, Byju's Alpha.

Byju’s set the edtech space in India alight with its meteoric rise and super-high valuations. But that growth was clearly too fast, too soon. Today, the celebrated unicorn is losing face – as well as employees, board members and even auditors. What’s going on at Byju’s?

Indian tech company Byju's is facing allegations that it hid $533m in a hedge fund founded by a 23-year-old with no formal investment training. Lenders claim that Byju's transferred the money to Camshaft Capital Fund, whose listed business address was an IHOP pancake restaurant in Miami. Luxury cars have since been registered in the fund's founder's name.

India's ed-tech giant, Byju's, is facing allegations of hiding $533 million in an obscure hedge fund, Camshaft Capital Fund, which claimed its principal place of business was an IHOP pancake restaurant in Miami. Byju's transferred the funds to Camshaft despite the fund's lack of formal investment training. Luxury cars have also been registered under Camshaft's founder's name since the transfer.

Byju's, the Indian edutech startup, is facing a liquidity crunch as its valuation drops from $22 billion to under $3 billion. The company's sales machine, which helped it become the world's most valuable edutech, played a role in its downfall, with allegations of a toxic work culture and aggressive sales tactics.