From billionaire to zero: Byju Raveendran's net worth wiped out
Byju Raveendran, the co-founder of edtech giant BYJU'S, has been removed from Forbes's World's Billionaires List 2024. Just a year ago, his net worth was a staggering ₹17,545 crore ($2.1 billion), but it has since plummeted to zero. Once celebrated as one of India's most promising startups, BYJU'S is now grappling with multiple crises that began in 2022.
BYJU'S faces multiple challenges amid financial crisis
BYJU'S has been facing a series of challenges including accounting discrepancies, allegations of course misrepresentation, and widespread layoffs. In the past year, the company has had to dismiss thousands of employees due to a decrease in venture capital funding and reduced demand for its online learning services. Several investor board members have also departed following disagreements with Raveendran.
BYJU'S valuation slashed amidst financial turmoil
Forbes reported that only four individuals were removed from last year's billionaires list, including Raveendran. His company, BYJU'S, has seen its valuation drastically reduced by BlackRock to $1 billion—a stark contrast to its peak $22 billion valuation in 2022. Despite Raveendran's exit from the billionaires index, the global tally of billionaires has increased with 2,781 billionaires worldwide—an increase of 141 from last year.
BYJU'S reports massive losses, CEO faces ouster
BYJU'S recently disclosed its delayed financial results for the fiscal year ending March 2022, revealing a net loss of over $1 billion. Following this disclosure, BlackRock downgraded its valuation of BYJU'S. In February 2024, BYJU'S shareholders voted to remove Raveendran from his CEO position. An ongoing court case will decide his ouster. The company has also laid off over 500 employees via phone calls and is facing potential additional exits due to salary delays over the past three months.
