{"id":47336,"date":"2024-01-24T20:25:36","date_gmt":"2024-01-24T14:55:36","guid":{"rendered":"http:\/\/officechai.com\/?p=47336"},"modified":"2024-01-24T20:27:45","modified_gmt":"2024-01-24T14:57:45","slug":"byjus-rights-issue-at-500-million-valuation-97-8-below-its-peak","status":"publish","type":"post","link":"https:\/\/officechai.com\/startups\/byjus-rights-issue-at-500-million-valuation-97-8-below-its-peak\/","title":{"rendered":"Byju&#8217;s Explores Rights Issue At $500 Million Valuation, 97.8% Below Peak"},"content":{"rendered":"\n<p>Byju&#8217;s hasn&#8217;t raised money for a while, but the estimates of its current valuation are falling off a cliff.<\/p>\n\n\n\n<p>Byju&#8217;s has approached existing shareholders to raise $100 million via a rights issue at a valuation of $500 million to $1 billion, ET <a href=\"https:\/\/economictimes.indiatimes.com\/tech\/technology\/byjus-fy22-revenue-at-rs-5014-crore-losses-swell-to-rs-8245-crore\/articleshow\/107078103.cms\">reports<\/a>. At its peak Byju&#8217;s was India&#8217;s most valuable startup with a valuation of $22 billion. A rights issue at $500 million would thus mean a staggering 97.7 percent erosion in the company&#8217;s value over the last two years.<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img data-recalc-dims=\"1\" fetchpriority=\"high\" decoding=\"async\" width=\"640\" height=\"336\" src=\"https:\/\/i0.wp.com\/officechai.com\/wp-content\/uploads\/2022\/11\/Collage-Maker-02-Nov-2022-06.58-PM.jpg?resize=640%2C336\" alt=\"\" class=\"wp-image-43630\" srcset=\"https:\/\/i0.wp.com\/officechai.com\/wp-content\/uploads\/2022\/11\/Collage-Maker-02-Nov-2022-06.58-PM.jpg?resize=1024%2C538&amp;ssl=1 1024w, https:\/\/i0.wp.com\/officechai.com\/wp-content\/uploads\/2022\/11\/Collage-Maker-02-Nov-2022-06.58-PM.jpg?resize=300%2C158&amp;ssl=1 300w, https:\/\/i0.wp.com\/officechai.com\/wp-content\/uploads\/2022\/11\/Collage-Maker-02-Nov-2022-06.58-PM.jpg?resize=768%2C404&amp;ssl=1 768w, https:\/\/i0.wp.com\/officechai.com\/wp-content\/uploads\/2022\/11\/Collage-Maker-02-Nov-2022-06.58-PM.jpg?w=1200&amp;ssl=1 1200w\" sizes=\"(max-width: 640px) 100vw, 640px\" \/><\/figure>\n\n\n\n<p>Byju&#8217;s is reportedly &#8220;desperately&#8221; scouting for funds to keep operations running. The company needs this money as an immediate lifeline, but even at this lowered valuation, most of the early investors it has approached with the proposal for fresh fundraising have refused to invest, a source said. &#8220;They feel there are too many unknowns surrounding the way the company is being run under founder Byju Raveendran \u2026 Nothing has been officially put out there or notified,\u201d they added. Byju&#8217;s also finally revealed its long-pending FY22 results yesterday, which showed that the company had registered a loss of Rs. 8,245 crore.<\/p>\n\n\n\n<p>Byju&#8217;s has seen its valuation plummet in recent times. In March 2023, Prosus had\u00a0<a href=\"https:\/\/officechai.com\/startups\/byjus-valued-at-3-billion-by-investor-prosus-was-worth-22-billion-last-year\/\">valued\u00a0<\/a>Byju\u2019s at just $5.1 billion, and in November, it had valued Byju\u2019s at less than $3 billion. Two weeks ago, BlackRock has <a href=\"https:\/\/officechai.com\/startups\/byjus-now-valued-at-just-1-billion-95-below-peak-valuation\/\">valued <\/a>Byju\u2019s at $1 billion. With the company now considering a rights issue at a $500 million valuation, Byju&#8217;s appears to have seen its valuation fall even further.<\/p>\n\n\n\n<p>This is a dramatic unravelling for Byju\u2019s, which at one point was India\u2019s highest-valued startup. The coronavirus pandemic had had caused investors to pump into into the company, and Byju\u2019s saw its valuation soar. But even as it was snapping up companies both in\u00a0<a href=\"https:\/\/officechai.com\/startups\/byjus-acquires-great-learning-for-600-million-toppr-for-150-million\/\">India\u00a0<\/a>and\u00a0<a href=\"https:\/\/officechai.com\/startups\/byjus-acquires-austria-based-geogebra-delhivery-acquires-us-based-drone-company\/\">abroad<\/a>, cracks had begun to appear. Byju\u2019s had delayed filing its FY21 financial results for so long that even the Indian government commented on the issue. The results hadn\u2019t made for pretty reading \u2014 Byju\u2019s had lost Rs. 4,588 crore in FY 21 \u2014 and Byju\u2019s had then proceeded to\u00a0<a href=\"https:\/\/officechai.com\/startups\/byjus-lays-off-another-1000-employees-as-ed-tech-rout-deepens\/\">lay off<\/a>\u00a0thousands of employees. Around this time, questions had been\u00a0<a href=\"https:\/\/officechai.com\/startups\/byjus-predatory-pricing-raised-in-indian-parliament\/\">raised\u00a0<\/a>in Indian parliament about Byjus\u2019 alleged mis-selling of courses to economically vulnerable parents, and even the country\u2019s child rights body had\u00a0<a href=\"https:\/\/officechai.com\/startups\/byjus-ceo-summoned-by-indias-child-rights-body-for-alleged-sales-malpractices\/\">summoned<\/a>\u00a0CEO Byju Raveendran for questioning.<\/p>\n\n\n\n<p>But things kept getting worse \u2014 not long after, the Enforcement Directorate had&nbsp;<a href=\"https:\/\/officechai.com\/startups\/ed-raids-byjus-ceos-home-and-offices-seizes-incriminating-documents\/\">raided<\/a>&nbsp;CEO Byju Raveendran\u2019s home, and seized incriminating documents over violation of foreign exchange laws. Since then, Byju\u2019s has seen its valuation&nbsp;<a href=\"https:\/\/officechai.com\/startups\/blackrock-cuts-byjus-valuation-from-22-billion-to-11-billion-report\/\">marked down<\/a>&nbsp;by several investors, and the company had tried to restructure its loan obligations. Byju\u2019s had then been sued by its lenders, but it had gone on to sue them back and&nbsp;<a href=\"https:\/\/officechai.com\/startups\/byjus-skips-loan-repayment-sues-its-own-lender-for-predatory-tactics\/\">refused&nbsp;<\/a>to pay back its loans amounting to $1.2 billion. Not long after, 3 of Byju\u2019s board members had&nbsp;<a href=\"https:\/\/officechai.com\/startups\/three-key-byjus-board-members-resign-in-latest-jolt-to-ed-tech-unicorn\/\">resigned&nbsp;<\/a>in unison over concerns over its corporate governance , and a day later, its auditor, Deloitte, had also&nbsp;<a href=\"https:\/\/officechai.com\/startups\/after-3-board-members-byjus-auditor-deloitte-resigns\/\">resigned<\/a>. The ED had also&nbsp;<a href=\"https:\/\/officechai.com\/startups\/ed-issues-byjus-show-cause-notice-for-rs-9362-crore-foreign-exchange-act-violation\/\">issued<\/a>&nbsp;the company a show-cause notice for contravening FEMA guidelines to the tune of Rs. 9,000 crore, and the company had been&nbsp;<a href=\"https:\/\/officechai.com\/startups\/bcci-takes-byjus-to-court-over-unpaid-dues-of-rs-158-crore-of-team-india-sponsorship\/\">taken<\/a>&nbsp;to NCLT court by BCCI over missed payments of its team India sponsorship which it had eventually transferred to Dream11.<\/p>\n\n\n\n<p>It\u2019s hard to think of a company that\u2019s been buffeted by worse news in recent times. But less than two years after it was India\u2019s highest valued startup, Byju\u2019s appears to have lost 97.8% of its value, and is staring at the bottom of the barrel mired in valuation markdowns, legal proceedings, and visits from the Enforcement Directorate. And with the company now no longer even commanding a unicorn valuation, Byju\u2019s whirlwind last few years appear to have finally come a full circle.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Byju&#8217;s hasn&#8217;t raised money for a while, but the estimates of its current valuation are falling off a cliff. Byju&#8217;s has approached existing&#8230;<\/p>\n","protected":false},"author":8,"featured_media":43630,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[254],"tags":[],"class_list":["post-47336","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-startups"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v25.5 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Byju&#039;s Explores Rights Issue At $500 Million Valuation, 97.8% Below Peak<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/officechai.com\/startups\/byjus-rights-issue-at-500-million-valuation-97-8-below-its-peak\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Byju&#039;s Explores Rights Issue At $500 Million Valuation, 97.8% Below Peak\" \/>\n<meta property=\"og:description\" content=\"Byju&#8217;s hasn&#8217;t raised money for a while, but the estimates of its current valuation are falling off a cliff. Byju&#8217;s has approached existing...\" \/>\n<meta property=\"og:url\" content=\"https:\/\/officechai.com\/startups\/byjus-rights-issue-at-500-million-valuation-97-8-below-its-peak\/\" \/>\n<meta property=\"og:site_name\" content=\"OfficeChai\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/OfficeChai\/\" \/>\n<meta property=\"article:published_time\" content=\"2024-01-24T14:55:36+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2024-01-24T14:57:45+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/i0.wp.com\/officechai.com\/wp-content\/uploads\/2022\/11\/Collage-Maker-02-Nov-2022-06.58-PM.jpg?fit=1200%2C631&ssl=1\" \/>\n\t<meta property=\"og:image:width\" content=\"1200\" \/>\n\t<meta property=\"og:image:height\" content=\"631\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Guest Author\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@OfficeChai\" \/>\n<meta name=\"twitter:site\" content=\"@OfficeChai\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Guest Author\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/officechai.com\/startups\/byjus-rights-issue-at-500-million-valuation-97-8-below-its-peak\/\",\"url\":\"https:\/\/officechai.com\/startups\/byjus-rights-issue-at-500-million-valuation-97-8-below-its-peak\/\",\"name\":\"Byju's Explores Rights Issue At $500 Million Valuation, 97.8% Below Peak\",\"isPartOf\":{\"@id\":\"https:\/\/officechai.com\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/officechai.com\/startups\/byjus-rights-issue-at-500-million-valuation-97-8-below-its-peak\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/officechai.com\/startups\/byjus-rights-issue-at-500-million-valuation-97-8-below-its-peak\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/i0.wp.com\/officechai.com\/wp-content\/uploads\/2022\/11\/Collage-Maker-02-Nov-2022-06.58-PM.jpg?fit=1200%2C631&ssl=1\",\"datePublished\":\"2024-01-24T14:55:36+00:00\",\"dateModified\":\"2024-01-24T14:57:45+00:00\",\"author\":{\"@id\":\"https:\/\/officechai.com\/#\/schema\/person\/6f9933414eeeb2c46923665f27544994\"},\"breadcrumb\":{\"@id\":\"https:\/\/officechai.com\/startups\/byjus-rights-issue-at-500-million-valuation-97-8-below-its-peak\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/officechai.com\/startups\/byjus-rights-issue-at-500-million-valuation-97-8-below-its-peak\/\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/officechai.com\/startups\/byjus-rights-issue-at-500-million-valuation-97-8-below-its-peak\/#primaryimage\",\"url\":\"https:\/\/i0.wp.com\/officechai.com\/wp-content\/uploads\/2022\/11\/Collage-Maker-02-Nov-2022-06.58-PM.jpg?fit=1200%2C631&ssl=1\",\"contentUrl\":\"https:\/\/i0.wp.com\/officechai.com\/wp-content\/uploads\/2022\/11\/Collage-Maker-02-Nov-2022-06.58-PM.jpg?fit=1200%2C631&ssl=1\",\"width\":1200,\"height\":631},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/officechai.com\/startups\/byjus-rights-issue-at-500-million-valuation-97-8-below-its-peak\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/officechai.com\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Byju&#8217;s Explores Rights Issue At $500 Million Valuation, 97.8% Below Peak\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/officechai.com\/#website\",\"url\":\"https:\/\/officechai.com\/\",\"name\":\"OfficeChai\",\"description\":\"Startups, Businesses And Careers\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/officechai.com\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/officechai.com\/#\/schema\/person\/6f9933414eeeb2c46923665f27544994\",\"name\":\"Guest Author\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/officechai.com\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/7eebf75bae8bc982bcdba1c3157c3c4064a93c857cc8abd77406cafd53332fe6?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/7eebf75bae8bc982bcdba1c3157c3c4064a93c857cc8abd77406cafd53332fe6?s=96&d=mm&r=g\",\"caption\":\"Guest Author\"},\"description\":\"Experts, contributors and authors who write for OfficeChai.com\",\"url\":\"https:\/\/officechai.com\/author\/guest-author\/\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Byju's Explores Rights Issue At $500 Million Valuation, 97.8% Below Peak","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/officechai.com\/startups\/byjus-rights-issue-at-500-million-valuation-97-8-below-its-peak\/","og_locale":"en_US","og_type":"article","og_title":"Byju's Explores Rights Issue At $500 Million Valuation, 97.8% Below Peak","og_description":"Byju&#8217;s hasn&#8217;t raised money for a while, but the estimates of its current valuation are falling off a cliff. Byju&#8217;s has approached existing...","og_url":"https:\/\/officechai.com\/startups\/byjus-rights-issue-at-500-million-valuation-97-8-below-its-peak\/","og_site_name":"OfficeChai","article_publisher":"https:\/\/www.facebook.com\/OfficeChai\/","article_published_time":"2024-01-24T14:55:36+00:00","article_modified_time":"2024-01-24T14:57:45+00:00","og_image":[{"width":1200,"height":631,"url":"https:\/\/i0.wp.com\/officechai.com\/wp-content\/uploads\/2022\/11\/Collage-Maker-02-Nov-2022-06.58-PM.jpg?fit=1200%2C631&ssl=1","type":"image\/jpeg"}],"author":"Guest Author","twitter_card":"summary_large_image","twitter_creator":"@OfficeChai","twitter_site":"@OfficeChai","twitter_misc":{"Written by":"Guest Author","Est. reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/officechai.com\/startups\/byjus-rights-issue-at-500-million-valuation-97-8-below-its-peak\/","url":"https:\/\/officechai.com\/startups\/byjus-rights-issue-at-500-million-valuation-97-8-below-its-peak\/","name":"Byju's Explores Rights Issue At $500 Million Valuation, 97.8% Below Peak","isPartOf":{"@id":"https:\/\/officechai.com\/#website"},"primaryImageOfPage":{"@id":"https:\/\/officechai.com\/startups\/byjus-rights-issue-at-500-million-valuation-97-8-below-its-peak\/#primaryimage"},"image":{"@id":"https:\/\/officechai.com\/startups\/byjus-rights-issue-at-500-million-valuation-97-8-below-its-peak\/#primaryimage"},"thumbnailUrl":"https:\/\/i0.wp.com\/officechai.com\/wp-content\/uploads\/2022\/11\/Collage-Maker-02-Nov-2022-06.58-PM.jpg?fit=1200%2C631&ssl=1","datePublished":"2024-01-24T14:55:36+00:00","dateModified":"2024-01-24T14:57:45+00:00","author":{"@id":"https:\/\/officechai.com\/#\/schema\/person\/6f9933414eeeb2c46923665f27544994"},"breadcrumb":{"@id":"https:\/\/officechai.com\/startups\/byjus-rights-issue-at-500-million-valuation-97-8-below-its-peak\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/officechai.com\/startups\/byjus-rights-issue-at-500-million-valuation-97-8-below-its-peak\/"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/officechai.com\/startups\/byjus-rights-issue-at-500-million-valuation-97-8-below-its-peak\/#primaryimage","url":"https:\/\/i0.wp.com\/officechai.com\/wp-content\/uploads\/2022\/11\/Collage-Maker-02-Nov-2022-06.58-PM.jpg?fit=1200%2C631&ssl=1","contentUrl":"https:\/\/i0.wp.com\/officechai.com\/wp-content\/uploads\/2022\/11\/Collage-Maker-02-Nov-2022-06.58-PM.jpg?fit=1200%2C631&ssl=1","width":1200,"height":631},{"@type":"BreadcrumbList","@id":"https:\/\/officechai.com\/startups\/byjus-rights-issue-at-500-million-valuation-97-8-below-its-peak\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/officechai.com\/"},{"@type":"ListItem","position":2,"name":"Byju&#8217;s Explores Rights Issue At $500 Million Valuation, 97.8% Below Peak"}]},{"@type":"WebSite","@id":"https:\/\/officechai.com\/#website","url":"https:\/\/officechai.com\/","name":"OfficeChai","description":"Startups, Businesses And Careers","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/officechai.com\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/officechai.com\/#\/schema\/person\/6f9933414eeeb2c46923665f27544994","name":"Guest Author","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/officechai.com\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/7eebf75bae8bc982bcdba1c3157c3c4064a93c857cc8abd77406cafd53332fe6?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/7eebf75bae8bc982bcdba1c3157c3c4064a93c857cc8abd77406cafd53332fe6?s=96&d=mm&r=g","caption":"Guest Author"},"description":"Experts, contributors and authors who write for OfficeChai.com","url":"https:\/\/officechai.com\/author\/guest-author\/"}]}},"jetpack_featured_media_url":"https:\/\/i0.wp.com\/officechai.com\/wp-content\/uploads\/2022\/11\/Collage-Maker-02-Nov-2022-06.58-PM.jpg?fit=1200%2C631&ssl=1","jetpack_shortlink":"https:\/\/wp.me\/p685C6-cju","jetpack_likes_enabled":true,"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/officechai.com\/wp-json\/wp\/v2\/posts\/47336","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/officechai.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/officechai.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/officechai.com\/wp-json\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"https:\/\/officechai.com\/wp-json\/wp\/v2\/comments?post=47336"}],"version-history":[{"count":3,"href":"https:\/\/officechai.com\/wp-json\/wp\/v2\/posts\/47336\/revisions"}],"predecessor-version":[{"id":47340,"href":"https:\/\/officechai.com\/wp-json\/wp\/v2\/posts\/47336\/revisions\/47340"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/officechai.com\/wp-json\/wp\/v2\/media\/43630"}],"wp:attachment":[{"href":"https:\/\/officechai.com\/wp-json\/wp\/v2\/media?parent=47336"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/officechai.com\/wp-json\/wp\/v2\/categories?post=47336"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/officechai.com\/wp-json\/wp\/v2\/tags?post=47336"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}