Byju’s defers Feb salaries, blames investor dispute

Byju’s has told its employees in a letter that February salaries have been deferred as the funds raised through a rights issue are inaccessible due to a legal dispute with certain investors, including Prosus, GA, Sofina and Peak XV.

In a letter to staff on Saturday, founder & CEO Byju Raveendran said the rights issue, launched a month ago, has been successfully closed. “This was supposed to be a happy correspondence. After all, we now have funds to meet our short-term needs and clear our liabilities. However, I regret to inform you that we will still be unable to process your salaries,” he wrote.