Byju's clears USD 950 million payment to Aakash, completes USD 800 million fund raise

This retrenchment was a result of a strategic decision to improve business efficiencies throughout Byjus and its group companies.

Edtech firm Byju's said on Monday that it has completed the payment that was due for the acquisition of Aakash Educational Service and received the majority of the USD 800 million funds that it announced in March.

The company is estimated to have acquired Aakash Educational Services Limited for around USD 950 million.

''Our fundraising efforts are on track and the majority of the 800 million has been already received. The balance is also expected soon. Our payments to Aakash are closed and the audited financial results are going to be announced in the next 10 days,'' Byju's said in a statement.

Byju's founder and CEO Byju Raveendran have made a personal investment of USD 400 million (over Rs 3,000 crore) of the total USD 800 million (about Rs 6,000 crore) raised in the latest funding round by the company.

A fresh round of funding has been conducted valuing the company at USD 22 billion.

Talking about lay-offs at the company, the statement said that the decision has been made to improve business efficiencies throughout Byju's and its group companies.

''In order to reduce redundancies across our organization after multiple acquisitions, we had to let go of nearly one percent of our over 50,000 strong workforces. This retrenchment was a result of a strategic decision to improve business efficiencies throughout Byju's and its group companies. Byju's remains a net hirer,'' the tech firm said.

Sacked employees of Byju's group, however, claimed the number of laid-off staff was higher than that cited by the company.

''With over 50,000 employees and growing, we take immense pride in our role as India's largest job creator among startups. Byju's continues to hire across levels for various businesses, departments, and functions,'' the company said.