Byju’s term loan creditors petition to initiate bankruptcy proceedings against subsidiaries

The creditors of the $1.2 billion term loan have filed 11 involuntary bankruptcy cases against Byju’s subsidiaries in Delaware.

Things seem to be getting worse for embattled edtech startup Byju’s. A group of its creditors on Wednesday filed petitions in the US to initiate Chapter 11 bankruptcy proceedings against the firm’s subsidiaries including Epic and Tangible Inc’s Osmo. 

These lenders and Think & Learn—Byju’s parent company—have been locked in several legal battles over the alleged default of the $1.2 billion term loan, which Byju’s raised in 2021 at low interest rates through its US-based subsidiary (Byju’s Alpha). This was during the COVID-19 pandemic when the company’s fortunes were booming. However, things soon went south. In May last year, the …

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Diti Pujara

Diti is a copy editor at The Morning Context. She joins us from Deccan Herald where she oversaw the daily news coverage in the digital vertical as a chief sub-editor. She also managed social media and contributed to data stories and film analysis. Before DH, she was with Reuters as an online producer.

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diti@mailtmc.com