The U.S. subsidiary of Indian edtech startup Byju’s has filed for bankruptcy proceedings in a Delaware court under Chapter 11 of the U.S. Bankruptcy Code, with liabilities ranging from $1 billion to $10 billion.

Byju’s Alpha unit lists assets ranging from $500 million to $1 billion, with estimated creditors ranging from 100 to 199, according to a court filing.

Founded by Byju Raveendran, the edtech company is one of India’s hottest startups, with a valuation of $22 billion in 2022, but lenders recently initiated bankruptcy proceedings against it. Some Byju investors say the company’s valuation has fallen to between $1 billion and $3 billion.

Byju’s said on Monday it would raise $200 million through a share placement to clear “direct liabilities” and other operating costs.

The company has also been negotiating to repay a $1.2 billion term loan and laid off thousands of employees over the past few months.

The company has also come under scrutiny from Indian authorities for alleged violations of India’s foreign exchange laws.

(This story has not been edited by News18 staff and is published from a Yonhap news agency feed – Reuters)