In a significant legal development, the National Company Law Appellate Tribunal (NCLAT) has dismissed the appeal by Byju’s, the prominent edtech firm, seeking permission for an equity fund raise by its subsidiary, Aakash Educational Services. This decision upholds an earlier order by the National Company Law Tribunal (NCLT) to maintain the current shareholding structure of Aakash, effectively putting a hold on any new equity transactions by the subsidiary. The appeal was crucial for Byju’s and Aakash, as they argued that the equity infusion was essential for their continued growth and survival.
The legal battle has been intensifying with Blackstone, which holds a 6.8% stake in Aakash, opposing the proposed equity raise,…
