WITHERING HEIGHTS
Business Today India|August 06, 2023
BYJU'S IS CONFRONTING THE CRISIS OF ITS LIFETIME, WITH AUDITOR DELOITTE AND SEVERAL BOARD MEMBERS JUMPING SHIP, AND FUNDING DRYING UP. DRASTIC MEASURES ARE THE NEED OF THE HOUR
BINU PAUL
WITHERING HEIGHTS

MORE THAN 13 acquisitions worth $3 billion. Expansion into international markets. Over $1.5 billion in funds raised. The coveted decacorn badge. And the crown of being the world's most-valued edtech firm. All this achieved in a little over a year in 2021. Those were the halcyon days for BYJU'S.

Cut to 2023, and the edtech major is in a spot of bother. In the past year or so, it has been hit by a funding crunch, a decline in valuation (in May, investment firm BlackRock cut its valuation to $8.4 billion from $22 billion achieved in March 2022; Prosus valued it at $5.1 billion in June), governance issues, low demand as schools reopened after the pandemic, and accusations of aggressive sales practices, among others. Both time and money seem to be running out for BYJU'S, even as new challenges crop up every day. Now, only a bold and miraculous strategy might save the Bengaluru-based firm. And its CEO, maths-tutor-turned-entrepreneur Byju Raveendran, 43, is fully aware of this.

BYJU'S has been a pioneer in the Indian edtech sector. So, any challenges it faces and how it manages them could provide invaluable lessons to the entire ecosystem. Hyper-inflated unicorns competing for a narrow customer base are self-correcting. Hence, the fallout for the sector might not be as severe as expected. "The more significant repercussions, however, could be felt across the larger start-up ecosystem, given the heightened scrutiny from later-stage investors following the high-profile trials faced by companies like BYJU'S and PharmEasy. These investors may demand increased safeguards to protect themselves from business failures," says Anirudh A. Damani, Managing Partner of Artha Venture Fund.

TOUGH TIMES

Bu hikaye Business Today India dergisinin August 06, 2023 sayısından alınmıştır.

Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.

Bu hikaye Business Today India dergisinin August 06, 2023 sayısından alınmıştır.

Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.

BUSINESS TODAY INDIA DERGISINDEN DAHA FAZLA HIKAYETümünü görüntüle
The EV Craze
Business Today India

The EV Craze

The country’s growing luxury car market is seeing a shift with environmentally-conscious consumers betting on electric vehicles as a sustainable travel option. Though just 6%, the share of EVs in the luxury segment is rising rapidly

time-read
5 dak  |
November 10, 2024
The Storage Boom
Business Today India

The Storage Boom

Data centres are being built at a frenetic pace in india as companies scramble to meet the ballooning demand from mobile phone users and firms adopting al. Can the country’s energy infrastructure keep up?

time-read
8 dak  |
November 10, 2024
India Beckons
Business Today India

India Beckons

Owing to rising incomes in India and overall wealth expansion, luxury brands are wooing the country like never before

time-read
4 dak  |
November 10, 2024
The Pearls of The Sea
Business Today India

The Pearls of The Sea

Caviar, that rare food, is considered the epitome of fine dining. Here is everything that you need to know about it

time-read
4 dak  |
November 10, 2024
66.Brand persona should define the core"
Business Today India

66.Brand persona should define the core"

I’d say this was a strategic pivot. We had an iconic brand, but had, over time, evolved into diversified lines of businesses that could no longer be represented within the confines of our ‘name’.

time-read
1 min  |
November 10, 2024
Unwind in Style
Business Today India

Unwind in Style

Here is acomprehensive list of top tech picks that help you unwind by blending perfection in performance with luxury

time-read
3 dak  |
November 10, 2024
A Lifelong Affair with Inspiration
Business Today India

A Lifelong Affair with Inspiration

In my art journey, the diversity of my acquisitions mirrored the expanding horizons of my understanding of art

time-read
3 dak  |
November 10, 2024
Make it Bubbly
Business Today India

Make it Bubbly

Champagne is much more than just a symbol of celebration and success. Know about its nuances beyond the bubbles

time-read
4 dak  |
November 10, 2024
Palatial Splendour
Business Today India

Palatial Splendour

Buoyed by renewed demand, sales of the glitzy mansions of the ultra-rich are surging like never before. Real estate majors are looking to capitalise on this by launching luxury offerings in record numbers

time-read
7 dak  |
November 10, 2024
Of Beaches and Cream
Business Today India

Of Beaches and Cream

GianChand Single Malt Whisky

time-read
1 min  |
November 10, 2024