ED raid likely to hit edtech giant Byju’s $700-million fundraising plan

The Directorate of Enforcement’s (ED’s) recent searches at Byju’s premises that led to the seizure of “incriminating” documents are expected to adversely impact the fundraising efforts of the edtech giant, according to industry sources and experts.

The Bengaluru-based firm, which achieved a valuation of $22 billion in a funding round in March last year, is in the process of raising $700 million from investors, according to the sources. However, the company may face challenges in convincing investors for fresh funding and ensuring that the money reaches its bank accounts, until it gets clearance from the ED authorities.