This is an archive article published on July 24, 2023
Byju’s, creditors agree to amend $1.2 billion loan terms
Byju's and its lenders, who own more than 85% of the edtech startup's $1.2 billion term loan, have agreed to work towards amending that loan by August 3, the steering committee of the creditors group said on Monday.
The news comes a month after Byju's had filed a lawsuit against Redwood, an investment management firm that is part of this group of lenders, to challenge its acceleration of the term loan B facility and disqualify it for "predatory tactics". (File image) Byju’s and its lenders, who own more than 85% of the edtech startup’s $1.2 billion term loan, have agreed to work towards amending that loan by Aug. 3, the steering committee of the creditors group said on Monday.
The successful execution of the loan amendment would “immediately” solve for the loan’s acceleration and end all open litigation and avoid further enforcement actions, the steering committee said in a statement.
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The news comes a month after the embattled startup had filed a lawsuit against Redwood, an investment management firm that is part of this group of lenders, to challenge its acceleration of the term loan B facility and disqualify it for “predatory tactics”.
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