Report: Byju's in talks to sell US unit to Joffre Capital for $400m

Byju's is reportedly in advanced talks to sell its kids' digital reading platform for roughly $400 million to Joffre Capital Ltd, in an effort to relieve its financial strain, according to a report .

A late interest payment on a term loan that Byju's took out to help finance its global acquisition spree during the pandemic has put the firm and its creditors at odds. According to a September Bloomberg News story, the firm surprised financiers with a repayment proposal that called for selling off assets to pay back the $1.2 billion debt in less than six months.

According to those familiar with the matter, Moelis & Co. is handling Epic's sale, and a transaction might be completed as soon as this month. According to the Bloomberg, the persons stated that Byju's may decide to hold onto the assets for a longer period of time and that no final decisions have been made regarding the purchase.

Last week, Byju's parent Think and Learn Private Limited (TLPL), has released its financial audit for FY22. The edutech company has reported FY22 standalone revenue up at Rs.3,569 crore, with a marginal drop in EBITDA loss, as per a release.

Excluding all acquisitions, the core business of Think & Learn, BYJU'S, has reported substantial growth, with total income surging to Rs.3,569 crore from Rs.1,552 crore in the previous year, marking a robust 2.3x increase.