Edtech company Byju's has to get $1.2-billion term loan rated by August

The company last year had exhausted its limit for corporate guarantees which are capped at $1 billion per year, primarily to fund acquisitions overseas

Education technology (edtech) company Byju’s has decided to get its $1.2-billion term loan rated by August this year, failing which it will have to pay a higher rate of interest, informed sources in the know.
 

The term loan raised in the overseas market was unrated. But as part of the contract, the interest rate will go up if the company does not obtain credit ratings from at least two agencies — Fitch/S&P/Moody’s — within nine months of the deal closure. The deadline ends in August this year.
 

The decision to rate the loan comes close on the heels of the