Wednesday, June 19, 2024
HomeLatest NewsBusinessForbes List: Why Byju Raveendran's Net Worth Has Fallen To $0? -...

Forbes List: Why Byju Raveendran's Net Worth Has Fallen To $0? – Prime Time News24

Byju Raveendran. (File picture)

Byju’s, which as soon as participated within the FIFA World Cup as a sponsor, has been going through a troublesome part

Edtech large Byju’s, which as soon as participated within the FIFA World Cup as a sponsor, has been going through a troublesome part and now its founder Byju Raveendran’s internet price has fallen to zero, as revealed within the Forbes Billionaire Index 2024. Final yr, his internet price stood at $2.2 billion (practically Rs 17,545 crore).

Forbes stated, “Solely 4 folks from final yr’s record dropped off this time, together with former edtech star Byju Raveendran, whose agency Byju’s was enveloped in a number of crises and its valuation was marked down by BlackRock to $1 billion, a fraction of its peak $22 billion valuation in 2022.”

Why Byju Raveendran’s Web Value Has Badly Declined?

Established in 2011, edtech large Byju’s shortly gained prominence and have become India’s most-valuable startup when its peak valuation touched $22 billion in 2022.

The corporate, which was Byju Raveendran’s brainchild, revolutionised the schooling sector with its revolutionary studying app, serving college students from main college to MBA aspirants. Nevertheless, latest monetary disclosures and rising controversies have severely impacted the corporate’s fortunes.

In April 2023, as a significant setback, Byju’s confronted the warmth of the anti-money laundering company Enforcement Directorate. The ED’s latest searches, as per the company, led to the seizure of assorted ‘incriminating’ paperwork and information.

Following this, in Could 2023, BlackRock lower its valuation to about $8.4 billion.

The challenges deepened as the corporate turned evident with the discharge of Byju’s overdue monetary outcomes for the fiscal yr ending March 2022, which unveiled a considerable internet loss surpassing $1 billion.

Subsequently, in November 2023, Byju’s additionally stated it trimmed its working losses by 6 per cent in 2021-22 for its core on-line schooling enterprise, whereas income greater than doubled.

In the course of the month, Byju’s was despatched a show-cause discover by the Enforcement Directorate for an alleged Rs 9,362.35 crore violation beneath the Overseas Change Administration Act (FEMA).

Following this, in November, tech investor Prosus NV considerably lower Byju’s valuation to beneath $3 billion, 86 per cent lower than its peak valuation of $22 billion in 2022. The valuation was considerably lower because of the firm’s wrestle with governance and cashflow issues.

Lastly, in January 2024, BlackRock slashed Byju’s valuation by 95 per cent to $1 billion. The valuation cuts got here amid media stories that Raveendran pledged his houses for funds to pay workers, following the exit of a number of Byju executives and board members, prompted by a delay within the firm submitting its 2021/22 monetary outcomes.



Please enter your comment!
Please enter your name here

- Advertisment -

Most Popular

Recent Comments