BYJU'S moves closer to Aakash dispute resolution after creditor approval
Creditors of Think & Learn, BYJU'S parent company, have approved a proposal to settle the dispute over Aakash Educational Services' shareholding. The resolution is nearing completion.
The creditors of Think & Learn, the parent company of edtech firm BYJU'S, have approved a proposal aimed at resolving the ongoing dispute concerning the shareholding in Aakash Educational Services. The development was disclosed during a hearing at the National Company Law Tribunal (NCLT) in Bengaluru.
Think & Learn's counsel, Ichchha Kalash, informed the tribunal that the settlement terms have been shared with Aakash and its majority shareholder, Manipal Education and Medical Group. Parties are awaiting final confirmation before the agreement can be finalized, with negotiations reportedly in the final stages.
This advancement follows reports that BYJU'S global Term Loan B (TLB) lenders are in advanced discussions to acquire approximately 30% of Aakash Educational Services for an estimated $2 billion. The lenders have proposed dropping legal actions in exchange for this stake.
The dispute began in 2023 when BYJU'S TLB lenders accused founder Byju Raveendran of alleged fund misappropriation. Legal battles have since occurred across India, the US, and Singapore, with BYJU'S and Raveendran denying the allegations. The resolution is expected to clarify the distribution of Aakash's value among the creditors, Manipal, and Raveendran-linked entities.