Byju’s disqualifies US lender for ‘predatory’ tactics, skips payment on $1.2 bn loan

Byju’s has skipped payments due on a $1.2 billion loan and instead disqualified the US lender for “predatory” tactics, the education technology startup said on Tuesday.

Byju’s filed a suit against investment management firm Redwood saying the US entity purchased a significant portion of the loan while primarily trading in distressed debt, which was contrary to the conditions of the term loan facility.

Byju’s, which provides services to more than 150 million students around the world, did not pay $40 million in interest due Monday on the $1.2 billion loan.