Byju’s Lenders Scrap Talks to Restructure $1.2 Billion Loan
- Restrictions on lenders to sell Byju’s loan securities lifted
- Company has to make an interest payment on the loan by June 5
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Creditors to Byju’s, India’s most valuable startup, have pulled out of negotiations with the company to recast a $1.2 billion loan, posing a new setback to the beleaguered tech firm, according to people familiar with the matter.
The talks were called off after the creditors moved court, and accused the firm of hiding $500 million of funds raised, the people said, asking not to be named as the information is not public. Lenders can now sell the term loan B securities of the firm as the restraint that came as part of the negotiations is lifted, they said.