On Thursday, June 22, three board members of education technology startup Byju’s announced their resignations. There have been reports indicating that GV Ravishankar of Peak XV Partners, Russell Dreisenstock of Prosus, and Vivian Wu of the Chan Zuckerberg Initiative have all resigned from their positions of responsibility on the board.
CEO Byju Raveendran, his wife Divya Gokulnath, and brother Riju Raveendran are the only members of the founder family left on the board of India’s most successful educational technology company. Byju’s, an edtech unicorn, was dealt a double blow when its statutory auditor and three external board members resigned, adding to the problems already being experienced by the company as it contends with lenders, lawsuits, and a funding drought.
Byju’s has recently avoided making a repayment of millions of dollars and has engaged in a court battle with a lender in the United States. Recent reports indicate that key members of the company’s board of directors as well as the auditing firm Deloitte have resigned from their positions.
According to the most recent reports, it has been stated that three members of Byju’s board of directors have left the company. These individuals are GV Ravishankar, MD of early investor Peak XV Partners (formerly Sequoia Capital India), Russell Dreisenstock of Prosus, and Vivian Wu of Chan Zuckerberg.
In the meantime, Byju’s has responded to reports in the media that board members had resigned by stating that these reports are completely speculative. BYJU’S has issued a statement that reads, “BYJU’S vehemently denies these assertions and advises media publications to desist from disseminating unreliable material or indulging in pointless speculation.” This statement was made by a spokeswoman for BYJU’S.
Due to the fact that Byju was late in submitting its financial statements, the auditing firm Deloitte decided to step down from its role as auditor for the company. It also noted that “the company’s financial statements are long delayed.” It then made the announcement of its departure.
It is believed that this will make the situation at Byju’s, which is now fighting to repay a debt of $1.2 billion, much worse. Blackrock has lately decreased its value of the company from its all-time high of $22 billion to its current level of $8.2 billion (about Rs 67,000 crore).