Indian edtech giant Byju's has filed a complaint in the New York Supreme Court to challenge the acceleration of the $1.2 billion term loan B, calling their demands for prepayment of the entire amount 'high-handed,' and sought to disqualify investment management firm Redwood, who it alleges has conducted a series of predatory tactics. The Bengaluru-headquartered startup said that Redwood purchased a significant portfolio of the loan while primarily trading in distressed debt 'with the intent of making windfall gains.' Byju's took the loan in late 2021 as it sought financing option to fund its fast-growth without diluting existing shareholders' equity stake in the firm. 'On the back of this unconscionable acceleration of the TLB, the TLB lenders undertook unwarranted enforcement measures including seizing control of Byju's Alpha and appointing its own management. Not resting content with this, the TLB lenders (acting through their agent, GLAS Trust Company) commenced litigation in...
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