Byju's Insolvency: India's EdTech Giant Files for Bankruptcy After $22 Billion Valuation Collapse

Byju's, the Bengaluru-based edtech giant that was once valued at $22 billion, has filed for insolvency under India's Insolvency and Bankruptcy Code (IBC), marking the largest startup failure in Indian corporate history.

The National Company Law Tribunal (NCLT) admitted the insolvency petition filed by the Board of Control for Cricket in India (BCCI) over unpaid sponsorship dues of ₹158 crore. The total liabilities now exceed $1.5 billion. Byju's dramatic fall from India's most valuable startup to insolvency happened in less than 18 months. The company faced multiple crises: aggressive acquisition spree (over $2.5 billion spent on acquisitions including Aakash, Great Learning, and Epic), accounting irregularities discovered by auditor Deloitte, mass layoffs affecting 10,000+ employees, and default on a $1.2 billion Term Loan B.

"The Byju's story is a cautionary tale for India's startup ecosystem. Growth at any cost is not a strategy — it's a trap. Governance, unit economics, and sustainable business models matter more than valuation headlines."

— Former SEBI Chairman

The insolvency process will be managed by a court-appointed resolution professional who will attempt to find a buyer for Byju's assets. Potential acquirers include Reliance Industries and the Adani Group, both of whom have expressed interest in Byju's content library and the Aakash Institute chain of physical coaching centers. The collapse has triggered a broader crisis in India's edtech sector. Multiple startups including Unacademy, Vedantu, and upGrad have announced significant layoffs and pivoted to offline models. The $4 billion Indian edtech industry is undergoing a painful reset after the pandemic-era boom.