Edtech giant Byju’s has appointed Kroll, the risk advisory firm, to safeguard “charged assets” of Great Learning Pte and Byju’s Singapore entity as part of its ongoing exploration of a potential sale of Great Learning.
Kroll stated that Cosimo Borrelli, global co-head of restructuring, and Jason Aleksander Kardachi, Kroll’s Singapore head, were appointed to protect the charged assets of Great Learning Education Pte Ltd and Byju’s Pte Ltd.
This appointment was made on behalf of secured creditors of Byju’s Alpha Inc, who are exercising their security rights following defaults by Byju’s Alpha Inc.
The lenders of Byju’s are seeking to ensure they receive the right price for their stake in Great Learning, especially in the case of a management buyout, according to an anonymous source. Mohan Lakhamraju, CEO of Great Learning, is reportedly looking to lead the buyout and may seek funding from private equity firms for this purpose.
Kroll clarified that its primary focus is to protect and preserve the assets and businesses owned by Great Learning, including its subsidiary Northwest Education Pte Ltd and Byju’s Pte Ltd. The firm emphasized that the operations of Great Learning and Northwest Education remain unaffected by the appointment, and all courses and programs offered by these businesses will continue as usual.
Mohan Lakhimraju, CEO of Great Learning, expressed his commitment to providing high-quality education and ensuring the continuity of the company’s growth amid this development. He looks forward to working with Kroll to achieve the mission of enabling career success through transformative learning.
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Byju’s has been exploring options to raise around $800 million to $1 billion by selling Great Learning and the book reading platform Epic in order to repay its term loan B. The company is facing a liquidity crunch and is undergoing business restructuring to reduce costs, including significant layoffs and giving up office spaces in multiple cities.
