Byju Raveendran's Net Worth: From $2.1 Billion To 'Zero'

A year ago, Byju Raveendran's net worth stood at Rs 17,545 crore ($2.1 billion), earning him a place in numerous prestigious lists of the world's richest individuals.

However, the recently released Forbes Billionaire Index 2024 paints a starkly different picture, indicating that Mr. Raveendran's net worth has plummeted to zero.

This significant decline follows a series of crises that have rattled the once-prominent startup, marking a notable downfall for the celebrated figure in India's startup ecosystem.

Addressing Byju's exclusion from the list, Forbes stated, "Only four individuals from last year's roster failed to make the cut this time, including former edtech luminary Byju Raveendran, whose company Byju's faced several crises and saw its valuation reduced by BlackRock to $1 billion, a fraction of its peak valuation of $22 billion in 2022."

Established in 2011, Byju's swiftly rose to become India's most valuable startup, reaching a pinnacle valuation of $22 billion in 2022.

Raveendran's brainchild revolutionized the education sector with its innovative learning app, catering to students from elementary school to MBA aspirants. However, recent financial disclosures and escalating controversies have dealt a severe blow to the company's prospects.

The company's challenges were laid bare when Byju's finally released its long-awaited results for the fiscal year ending March 2022, revealing a staggering net loss exceeding $1 billion. This dismal financial performance prompted BlackRock, a key investor, to slash its valuation of Byju's to a mere $1 billion, representing a precipitous decline from its peak valuation.

Byju Raveendran has faced fierce criticism amidst the company's dwindling fortunes. Shareholders, including Prosus NV and Peak XV Partners, recently voted to remove Mr. Raveendran as CEO, escalating a power struggle over the fate of the once-promising online tutoring startup fighting to stay afloat.

Additionally, Byju's foreign investments have come under scrutiny from the Enforcement Directorate. Prior to the issuance of a lookout circular against its founder, the ED issued showcause notices to Byju's parent firm, Think & Learn, over alleged violations amounting to over Rs 9,362 crore under the Foreign Exchange Management Act.