Ed-tech startup Lido Learning filed for bankruptcy on Thursday under Section 10 of the Insolvency & Bankruptcy Code (IBC), 2016, as per the company’s filing on the Ministry of Corporate Affairs (MCA) portal.
Lido Learning filed for insolvency proceedings after getting the requisite majority from its shareholders, the filing showed. The date of passing the resolution was September 5, while the notice for the same was served to the shareholders on August 11, the filing revealed.
The company shut down operations in February this year, forcing its workforce to seek help via social media platforms.
Also Read | Adani’s open offer for NDTV shares to begin on October 17
Indian ed-tech startups have been marred by the drying up of funds and mass layoffs across the board in a bid to remain sustainable as schools and educational institutions reopened after the pandemic. Ed-tech firms like Unacademy, Vedantu, and BYJU’s-owned WhiteHat Jr also laid off their employees earlier in 2022.
Indian ed-tech firms managed to raise only $733 million from April to August this year, down 61 percent from $1.92 billion raised in the same period last year.
Lido Learning, which provides small group tuition for Maths, Science, English & Coding for grades kindergarten to 12, is backed by Ronnie Screwvala. His firm Unilazer Ventures was also one of the lead investors in the ed-tech firm’s $10-million Series C fundraise in September 2021, as per the data from Crunchbase, a research platform that tracks private companies.
Ronnie Screwvala has also backed ed-tech firms like upGrad and enguru.
.