Byju's mulling $400 million sale of Epic to tide over financial troubles: Report

livemint.com:

Byju's is facing significant financial difficulties, prompting consideration of using funds from the potential sale of its unit, Epic, to sustain its operations at Think & Learn, as per an Economic Times report citing multiple sources. Byju’s has received three offers, totalling around $400 million, for Epic. As per the current plan, the company might need to utilise about $80-100 million from this amount while allocating the rest for term loan B (TLB) lenders, it added.

The crucial aspect revolves around the speed of finalising the deal and transferring the funds. Simultaneously, Byju’s is actively exploring various avenues to secure the necessary financing. Reportedly, Joffre, a buyout firm focused on technology, is leading the race.

Also Read | Saving edtech company Byju's: Inside the great rescue act A source mentioned the company's urgency to conclude the Epic sale before the holiday season, ensuring the transaction's closure before investors proceed on the Christmas and New Year holidays. Byju's did not respond to queries, as per the report. As per a Bloomberg report on December 4, Byju Raveendran, the eponymous founder of Indian edtech titan Byju’s, has pledged his home as well as those owned by his family members to raise money for paying employees as the company battles a cash crunch, according to people familiar with the matter.