Byju Raveendran, the founder and CEO of Byju’s, has experienced a dramatic downturn in his wealth, according to the Forbes World’s Billionaires List 2024. Once valued at ?17,545 crore, his net worth has plummeted to zero amidst a series of challenges faced by the edtech company. These challenges include allegations of accounting irregularities, cash flow issues, the resignation of auditors, and a dispute with creditors over a substantial loan of $1.2 billion. Byju’s has also been forced to implement layoffs and salary delays, affecting thousands of employees.
Forbes noted that Byju Raveendran was among the individuals who dropped off the billionaire list this year. The company’s valuation suffered a significant markdown by BlackRock, plummeting to $1 billion from its peak valuation of $22 billion in 2022. Byju’s recent rights issue, which closed at a substantially lower valuation, further underscored the challenges faced by the company.
Concerns about Byju’s financial health and governance practices were exacerbated last year when its auditor, Deloitte, and three board members exited the company. More recently, investors filed a suit alleging oppression and mismanagement against the company’s management, aiming to remove the founders, including CEO Raveendran, and appoint a new board. These developments have cast a shadow over the once-prominent edtech firm.
Post Your Comments