Byju's in advanced talks to sell EPIC to Joffre Capital for $400 million 

Indian ed-techcompany Byju's is reportedly in the final stages of discussions to sell its US-based children's digital reading platform, Epic! Creations, to private equity fund Joffre Capital for approximately $400 million.

The move is seen as an effort to secure financial support and alleviate the company's ongoing financial challenges, according to sources cited by Bloomberg.

Byju's has been actively seeking to raise up to $1 billion by divesting two entities: Great Learning and Epic, as part of its broader strategy to streamline its operations and address its outstanding financial obligations. This development aligns with earlier reports by Reuters from September.

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The prospective sale of Epic is expected to assist Byju's in raising funds to manage its disputed $1.2 billion term loan, Bloomberg's report indicates. The report also notes that other potential buyers, including Duolingo, a company specialising in the development of mobile learning platforms, have expressed interest in acquiring Epic.

At the time of reporting, Byju's had not provided a response to Reuters' request for comment, while Joffre Capital and Duolingo remained unavailable for immediate contact due to time zone differences with the United States.

The sale process for Epic is being overseen by Moelis and Co, and a final agreement could be reached as soon as this month, as mentioned in the report.

Byju's, with support from investors like General Atlantic, Prosus, and Silver Lake, had achieved a valuation of $22 billion in 2022. However, the company has faced a series of challenges, including the resignation of its auditor and board members, along with the ongoing negotiations related to a $1.2 billion loan repayment over the last several months.

(With inputs from Reuters)

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