The meeting has been called to consider and seek shareholder nod for the appointment of MSKA & Associates as the statutory auditors of the company for the next five years
BYJU’S will also seek approval regarding the remuneration of the company’s cost accountants, BY & Associates, for the period between FY22 and FY24
Earlier today, it was reported that BYJU’S delayed the salaries of 1,000 employees for the month of November due to an “unexpected technical glitch”
Troubled edtech giant BYJU’s, which is fighting fires on multiple fronts, has convened an annual general meeting (AGM) to discuss a host of issues, including seeking approval for its much delayed financial statements for FY22.
As per a copy of the notice sent to shareholders and accessed by Inc42, the company has scheduled the meeting on December 20 at 6 PM.
“Notice is hereby given that the 11th AGM of the members of Think & Learn Private Limited will be held on Wednesday, 20th day of December 2023 at 6.00 P.M. (IST) through video conferencing or other audio-visual means…,” stated the notice.
The meeting has been called to consider and seek approval of the shareholders for the audited financial statements of FY22. Besides, the company also plans to seek approval for the appointment of MSKA & Associates as the statutory auditors of the company for the next five years.
In addition, the company will also place before the board the proposal for approving the remuneration of its cost accountants, BY & Associates, for the period between FY22 and FY24.
This comes hours after it was reported that BYJU’S delayed the salaries of 1,000 employees for the month of November due to an “unexpected technical glitch”. Hours later, a company spokesperson told Inc42 that it cleared the payments of the employees in the first half today.
Besides, Bloomberg reported today that BYJU’S cofounder and chief executive officer (CEO) Byju Raveendran had reportedly pledged three properties to pay employee salaries.
The latest development comes days after Dutch investor Prosus slashed the valuation of its stake in BYJU’S to under $3 Bn, down 85% from $22 Bn valuation that BYJU’S was pegged at during the last fundraise.
Prosus’ interim chief executive Ervin Tu, during an earnings call, also added that BYJU’S was facing multiple challenges and that the investor was working to get the startup ‘back on track’.
BYJU’S has been mired in multiple troubles over the past two years. The company recently came under regulatory scrutiny after the Enforcement Directorate (ED) alleged that it violated FEMA rules. The Board of Control for Cricket in India (BCCI) has also dragged the edtech giant to the NCLT over a dispute pertaining to sponsorship rights for the Indian cricket team’s jerseys.
However, the trouble runs deeper. BYJU’S is mired in heavy losses and a looming debt crisis involving a $1.2 Bn Term Loan B (TLB). It has also undertaken multiple rounds of layoffs and cost-cutting measures to tide over liquidity challenges.
It is also under fire for multiple delays in releasing its financial statements for the financial year 2021-22 (FY22). Last month,
for FY22. The parent Think and Learn Private Ltd raked up standalone EBITDA loss of INR 2,253 Cr in FY22 against an EBITDA loss of INR 2,406 Cr in FY21.