The Board of Control for Cricket in India (BCCI) has raised concerns over edtech giant Byju’s, alleging a default in payment amounting to Rs 158 crore. According to information on the National Company Law Tribunal website, the BCCI issued a general notice to Byju’s, triggering a legal dispute. The case, officially registered on November 15, is scheduled for another hearing on December 22, following a previous hearing on November 28.
Byju’s, a prominent player in the edtech sector, had significant branding partnerships with BCCI, ICC, and FIFA, all set for renewal in 2023. The company had earlier announced its decision not to renew any of these partnerships, leaving the nature of the filed suit unclear.
This development adds to the challenges faced by Byju’s, as the Enforcement Directorate (ED) confirms a show cause notice in a FEMA violation case. The company has also faced criticism for delays in settling payments to laid-off employees. The filing follows a resolution with Davidson Kempner and a proposal to lenders to repay a $1.2 billion term loan B within six months. To secure funds, Byju’s has initiated a strategic review, putting assets like Great Learning and Epic up for sale.
Despite its earlier valuation of $22 billion in March 2022, Byju’s has encountered various setbacks, including delayed financial results, the resignation of its auditor Deloitte, and key board members stepping down. The company’s founder, Byju Raveendran, faces an intricate path ahead as he navigates financial challenges and regulatory scrutiny.