Byju’s gave a part of the salary to the employees: the rest will be given after the rights issue; Byju Raveendran had asked to pay salary by March 10

Edtech company Byju’s, which is facing cash crunch, has sent a part of the pending salary of all the employees for February to their accounts today i.e. on March 10. The remaining salary will be credited to the employees’ accounts today i.e. on March 11.

Moneycontrol has given this information. The company has said in a letter to its employees that once the funds raised through the rights issue become free, the remaining salary will be credited, which we expect soon.

Rights issue funds cannot be used for salary

Earlier, last week on March 2, company founder Byju Raveendran had assured to pay salaries to the employees by March 10. Raveendran had then said that the funds raised by the company through the rights issue cannot be used to pay salaries, because due to opposition from investors, it has been locked in a separate account.

Investors opposing rights issue worth ₹1,657 crore

Byju’s investors Prosus NV, Peak 99% less than. The previous funding round was at a valuation of $ 22 billion i.e. about Rs 1.82 lakh crore.

Byju’s investors have alleged that the company embezzled US$533 million, or about Rs 4,416 crore, from an obscure hedge fund in the US and demanded a stay on the rights issue worth Rs 1,657 crore. Called it illegal and against the law.