Online education provider and India's most valuable start-up Byju's is apparently delaying payments for an approximately $1 billion acquisition struck last year, news agency Bloomberg reported citing sources familiar with the development.
Blackstone Inc. and other shareholders of test-preparation provider Aakash Educational Services were due to be paid partly in cash and partly in Byju's stock this week, but Byju's sought a two-month extension, the report added.
It also mentioned that some sellers received partial payment in 2021.
Blackstone, which owned 38 per cent of Aakash, opted to defer payments due until this year, the report further stated.
The acquisition process is "fully on track and all payments are expected to be completed by the agreed upon date i.e. August 2022," a Byju's spokeswoman said.
Blackstone didn't respond to an email seeking comment and an Aakash representative declined to comment.
Recently, Byju's was named as the official sponsor for the upcoming 2022 FIFA World Cup, which is scheduled to be held from November 21 to December 18 in Qatar.
The Bengaluru-based firm is also a sponsor for the Indian cricket team and will be indulging in football for the first time ever.