Byju's India CEO steps down; co-founder takes over

Byju's, the Indian ed-tech startup, has recently announced that its India CEO Arjun Mohan is officially stepping down from his position. After seven months in the CEO role, Mohan will be replaced by co-founder and CEO Byju Raveendran as the new "hands-on" leader in charge of the company's daily operations.

With Raveendran now in charge, he is expected to refocus the company's objectives towards raising capital and global expansion. 

The move comes after a seven-month operational and costs review led by Mohan, who will transition to an external advisory role, the company said without providing a reason for the resignation.

Mohan, former CEO of ed-tech upGrad, joined Byju's last July to lead the international business and was made India CEO in September. 

Why the sudden change?

Byju's, once one of India's hottest startups, has suffered numerous setbacks in the past few years, leading to a crisis of investor confidence, thousands of job cuts and its valuation nosediving to under $3 billion from $22 billion in 2022.

Separately, this week, Byju's said that shareholders have approved its rights issue. The startup had previously struggled to meet the salary deadlines of its employees, citing its inability to access funds due to a standoff with some of its shareholders.

In February, a group of investors including Prosus and Peak XV voted to oust Raveendran due to governance, financial mismanagement and compliance issues. Byju's had called the move invalid.

Going forward

Byju's will now consolidate into three divisions -- its marquee online learning app business, online classes and tuition centres and lastly, test preparation -- with each having a separate head, the company said.

Byju's, which operates in 21 countries as per its LinkedIn page, said the restructuring would not impact its international businesses, since it was product, not geography, specific.