Edtech company Byju’s pushes back payments for $1 billion acquisition

Online education provider Byju’s is pushing back payments for an approximately $1-billion acquisition struck last year, according to people familiar with the matter.

Blackstone and other shareholders of Aakash Educational Services were due to be paid partly in cash and partly in Byju’s stock this week, but Byju’s sought a two-month extension, said the people, who asked not to be identified discussing a private matter. Some sellers received partial payment in 2021, the people said.

Blackstone, which owned 38 per cent of Aakash, opted to defer payments due until this year, one of the people said. The acquisition process is “fully on track and all payments are expected to be completed by the agreed upon date ie August 2022,” a Byju’s spokeswoman said. Blackstone didn’t respond to an email seeking comment and an Aakash representative declined to comment.

the MorningContext reported earlier that the payments had been postponed. Byju’s asked to push back the Aakash deal payments until late August because regulators have yet to clear the acquisition, said one of the people, adding that it had nothing to do with cash shortages.

Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practice the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

digital editor


Leave a Reply

Your email address will not be published.