Byju’s Founder Takes Loan Pledging His Home To Pay Salaries to Employees

New Delhi: Byju Raveendran, the owner of edtech giant Byju’s, has pledged his residence as well as houses owned by his family members to take loan to pay up salaries of employees. The edtech company is going through a major financial crisis.

As per reports, two homes owned by the former billionaire’s family in Bengaluru and his under-construction villa were offered as collateral to borrow $12 million.

Byju’s used the money to pay salaries to 15,000 employees in Byju’s parent firm, Think & Learn Pvt., on Monday.

Byju’s was India’s most valuable edtech startup. It is now trying to sell off its US-based kids’ digital reading platform for about $400 million. It is also locked in a legal battle with creditors over a missed interest payment on a $1.2 billion term loan.

Raveendran, has raised debts of about $400 million on a personal level, pledging all his shares in the parent company. Last month, Byju’s showed losses at Think & Learn narrowed marginally.