Edtech firm Byju's has instructed its 14,000 employees to transition to remote work arrangements, closing all its offices except for the headquarters in Bengaluru amidst the ongoing crisis.
According to sources cited by the media, with the exception of the IBC Knowledge Park in Bengaluru, where more than 1,000 employees operate, Byju's has vacated all other office spaces across the country.
This process has been underway for the past few months, as reported by media, as the company chose not to renew several office contracts across different cities in an effort to reduce costs.
Despite these closures, around 300 of Byju's tuition centers, physical spaces where students from classes 6-10 study, will remain operational.
Byju's has been facing financial difficulties and is entangled in a dispute with creditors regarding a $1.2 billion loan. The company's valuation has plummeted by an estimated 90 percent over the past year, once valued at over $20 billion.
Last month, Byju's major stakeholders voted to remove Byju Raveendran from his position as chief executive officer (CEO) and strip him of his powers.
However, Byju's rejected this move, stating that the resolution was passed at a meeting attended only by a "small cohort of select shareholders." The company declared the resolutions invalid and ineffective in a statement.
Byju Raveendran has lost the support of key investors following a series of crises, including the resignation of auditor Deloitte over corporate governance concerns and legal disputes with US lenders.
