The 22-year-old, who is recovering at home in Mumbai, is all set to miss his franchise's season-opening clash against Royal Challengers Bangalore on April 8, and is also doubtful for their second match against Rising Pune Supergiants on April 11.
Iyer, who recently earned a call-up to Indian Test squad as a cover for injured skipper Virat Kohli, has played two IPL seasons for Daredevils, ESPNcricinfo reported.
He was Daredevils' highest run-getter in 2015, notching up a total of 439 runs at an average of 33.76. He, however, endured a difficult 2016 season, scoring only 30 runs from six innings he played, including three ducks.
Earlier, wicketkeeper-batsman Quinton de Kock was also ruled out of the entire season with a finger injury, while middle-order batsman JP Duminy had pulled out due to personal reasons.
Meanwhile, all-rounder Angelo Mathews is also expected to miss a large chunk of the season as he is still recovering from hamstring and calf injuries.
