Bengaluru/IBNS: Byju Raveendran, founder of the troubled edtech company Byju’s, admitted on Thursday that he had made several mistakes, including misjudging market conditions and overestimating the company's growth potential.

Once India's biggest startup Byju's, which was valued at $22 billion, is now essentially worth "zero," according to Raveendran.

In a conversation with journalists, Raveendran explained that the company’s rapid acquisition of over two dozen startups to expand into new markets backfired when financing dried up in 2022.

Byju’s had been preparing to go public in early 2022, with some investment bankers estimating its value as high as $50 billion.

Raveendran claimed that many of the company’s more than 100 investors had pushed for aggressive expansion into around 40 markets.

However, those same investors withdrew support when global markets slumped following Russia's invasion of Ukraine, which triggered a downturn in the venture capital industry.

He said that several key investors abandoned the company, including Prosus Ventures, Peak XV, and the Chan Zuckerberg Initiative, whose exit from Byju’s board last year severely impacted the startup's ability to secure further funding.

These departures, along with the resignation of auditor Deloitte, were attributed to governance concerns.

Since then, Byju’s has entered insolvency proceedings, with Raveendran, who no longer controls the firm, bluntly stating, "It’s worth zero. What valuation are you talking about? It’s worth zero."

Byju’s, once India’s highest-valued startup, had received backing from prominent investors such as BlackRock, UBS, Lightspeed, QIA, Bond, Silver Lake, Sofina, Verlinvest, Tencent, the Canada Pension Plan Investment Board, General Atlantic, Tiger Global, Owl Ventures, and the World Bank's IFC. Over the years, it raised more than $5 billion in funding.

Despite the company's downfall, Raveendran remains optimistic about a potential recovery, saying, "I have nothing to lose. I came from a small village. I invested everything I had into the startup."