New Delhi: Edtech main Byju’s goes to put off 4,000-5,000 workers in a “business restructuring exercise” within the coming weeks, the media reported on Tuesday. According to TechCrunch, Byju will undergo the restructuring train “to pare down costs amid a broad restructuring of its business following a delayed IPO and pressure from lenders”.
The restructuring train is being undertaken below the management of latest CEO Arjun Mohan, based on the report.“We are in the final stages of a business restructuring exercise to simplify operating structures, reduce the cost base and better cash flow management,” an organization spokesperson mentioned in an announcement. (Also Read: In PICS: India’s 8 Most Expensive Weddings Of All Time)
“Byju’s new India CEO, Arjun Mohan, will be completing this process in the next few weeks and will steer a revamped and sustainable operation ahead,” the spokesperson added.
The edtech main final week elevated Mohan because the CEO of its India operations, because it mulls promoting a few of its subsidiaries to repay its excellent $1.2 billion Term Loan B (TLB) amid “difficult business restructuring”.
Mohan succeeded Mrinal Mohit, founding companion and the outgoing head of India enterprise at Byju’s, who’s embarking on a brand new journey to pursue private aspirations.
The rejig on the prime degree got here as Byju is mulling to promote a minimum of two of its subsidiaries, Epic and Great Learning, to boost between $800 million and $1 billion, amid experiences that the corporate has formulated a proposal to repay its excellent $1.2 billion Term Loan B (TLB).
Reports additionally surfaced that the corporate is providing to repay $300 million of the debt inside three months if the proposal is accepted whereas repaying the remaining quantity within the subsequent three months. The lenders are reportedly reviewing Byju’s proposal.
