Summary -BYJUS Advisory Council Members to Leave
• Rajnish Kumar and Mohandas Pai, former State Bank of India chief and Manipal Global Education chairman, will not renew their contracts to serve on the BYJUS Advisory Council.
• The decision was mutually agreed upon, with the understanding that their tenure would not exceed the agreed-upon one-year timeframe.
• Kumar and Pai expressed willingness to provide advice if the company or its founders requested it in the future.
• BYJU’s founder, Raveendran, appreciated their efforts in the face of ongoing litigation delaying corporate goals.
Rajnish Kumar and Mohandas Pai are set to leave the BYJUS Advisory Council. Their current contract, which ends June 30, will not be renewed. The decision was mutually agreed upon by the corporation and the aforementioned individuals, with the understanding that their tenure would not exceed the previously agreed-upon one-year timeframe.
Rajnish Kumar and Mohandas Pai are likely to leave BYJU’s Advisory Council. Their present contract, which expires June 30, will not be renewed. The decision was mutually agreed upon by the corporation and the aforementioned individuals, with the understanding that their tenure would not extend beyond the previously agreed-upon one-year timeframe.
They did, however, show a willingness to provide advise if the company or its founders requested it in the future. BYJU’s creator, Raveendran, appreciated their tremendous efforts over the past year, particularly in the face of problems such as ongoing litigation that is delaying corporate goals.
Arjun Mohan, CEO of BYJU’S India, recently left after only six months, causing a restructure of the company under creator Byju Raveendran’s direct control. The corporation is now divided into three independent divisions: online learning apps, online classes and centers, and test preparation, each controlled by a separate executive.
Additionally, BYJU’S is facing challenges with delayed salary payments due to funds from a recent rights issue being held in a separate account amid disputes with investors. The dispute, involving investors such as Prosus, General Atlantic, Sofina, and Peak XV Partners, centers on the valuation of the company and has led to legal proceedings at the National Company Law Tribunal (NCLT).
Despite these hurdles, BYJU’S remains focused on growth under Raveendran’s leadership, with plans to leverage new AI products and increase authorized share capital to address liquidity issues.
However, the use of funds from the rights issue has been restricted by the NCLT pending further legal proceedings. The tribunal previously directed BYJU’S to hold the funds in escrow following a petition from the aforementioned foreign shareholders. The next hearing on the matter is scheduled for April 30th.
CONCLUSION : Former State Bank of India chief Rajnish Kumar and Manipal Global Education chairman Mohandas Pai will not be renewing their contracts to be a part of the board advisory council at Byju’s. They also said “Though the formal engagement concludes, the founders and the company can always approach us for any advice. We wish the founders and the company the very best for the future,” Kumar and Pai said in a joint statement, shared by the company’s spokesperson.