Advertisement
Bengaluru: Byju’s has asked all its employees to start working from home immediately and has vacated all its office spaces except its headquarters at IBC, Knowledge Park, Bengaluru. This move is strategic and prompted by the edtech unicorn’s ongoing liquidity concerns, arising from a dispute with investors regarding funds raised in a recently concluded rights issue offering, it added.
Employees at Bengaluru headquarters and 300 Byju’s tuition centres will continue working from offices, reported Moneycontrol. The decision to vacate offices has been under process for over six months, with Byju’s gradually shutting down locations as leases expire, sources told.
The decision was made to tackle the upcoming liquidity crisis, according to the report. The closure of all offices across the country is said to be a decision of Byju’s India CEO Arjun Mohan’s restructuring strategy. It released a portion of the salary on Sunday and promised to pay the rest if it is able to use funds raised from the rights issue.
The embattled edtech company has been in a legal tussle with its investors regarding the legitimacy of funds raised from a recently completed rights issue offering. Byju’s is facing a crisis and has laid off thousands of employees last year. It has also defaulted in paying the entire salaries of its employees for the month of February.
