Major Investors Urge Removal of Byju Raveendran and Family from Byju’s Board

A group of prominent investors in Byju’s has initiated an extraordinary general meeting (EGM), aiming to bring about changes and oust Byju Raveendran and his family from the board of the tech giant, which is currently navigating a precarious path between potential closure and survival.

Several investors, including Prosus, have issued an EGM notice to Think & Learn Pvt. shareholders, calling for discussions on resolving the company’s governance issues, financial mismanagement, and compliance concerns. The agenda includes the restructuring of the board of directors and a change in the company’s leadership.

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Byju’s board is currently composed of Byju Raveendran, his wife Divya Gokulnath, and his brother Riju Raveendran.

The investors stated in a release, “The issuance of this EGM notice follows many months of continued efforts by shareholders to engage with the company to address persistent issues relating to corporate governance, mismanagement, and compliance.” These efforts have persisted since the resignation of directors nominated by Prosus and other shareholders in June 2023.

Despite the efforts of Byju’s advisory council, which includes Mohandas Pai and Rajnish Kumar, to address challenges, concerns about the company’s future stability under the existing leadership persist, according to the investor group.

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“While we acknowledge Byju’s role and contribution, we remain deeply concerned about the future stability under the current leadership. As shareholders, we will continue to assert our rights, collaborating with other shareholders and government authorities to safeguard the long-term interests of the company and its stakeholders,” the group emphasized.

The EGM notice comes shortly after Byju’s announced a rights issue to raise $200 million at a pre-money valuation ranging from $25 to $30 million. The company has faced heightened challenges, with overseas lenders and a French outsourcing vendor pursuing insolvency proceedings in the past month.