- By Aditya Pratap Singh
- Fri, 18 Oct 2024 05:26 PM (IST)
- Source:JND
Byju's: Once the founder of India’s India’s leading ad-tech startup Byju, Byju Raveendran has confessed to misjudging the company’s growth potential, which is now causing its financial difficulties. Regardless, he remains hopeful about turning things around for the struggling firm.
Byju's, valued at $22 billion by 2022, is now facing severe hurdles amid the growth of online learning caused by the COVID-19 epidemic. It has been reduced to “zero value,” burdened by severe debt and allegations of financial mismanagement, but Raveendran denies these claims.
Speaking to a news channel through a video call from Dubai, Raveendran said that the company’s value has indeed decreased significantly. He blamed Baiju’s rapid expansion into too many markets at once for its downfall. “We overestimated growth potential and entered too many markets at once. It was much, much quicker,” he explained.
The company’s financial crisis worsened in August after U.S. creditors accused Bayjuy’s of misusing $1 billion in loans in India’s Supreme Court. The case is still pending, and the court has not yet ruled on the lender's complaint. Once a darling of global investors like General Atlantic, Byju has suffered numerous setbacks, including board resignations, tardy financial reports, and disputes with international partners.
Despite the difficulties, Ravindran, a former math teacher turned billionaire entrepreneur, remains confident in finding a way out of the crisis. “Whatever comes, I will find a way,” he said, expressing optimism about the future.
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