Byju's Calls EGM On March 29 To Expand Authorised Share Capital

The NCLT Bengaluru bench has received a request for an injunction over the EGM from a group of investors, and the hearing is scheduled for March 28.

Outlook Business Desk

Updated on: 21 March 2024 10:47 am

Byju Raveendran

Think and Learn, the parent company of edtech Byju's has notified its shareholders of the extraordinary general meeting (EGM) on March 29.

The company needs to hold a meeting to approve increasing its authorised share capital so it can finish selling shares from the recent $200-million rights issue. But some investors went to court to stop the meeting. The court will decide on March 28.

A group of four investors, including Prosus, GA, Sofina, and Peak XV, have accused the company of bad corporate governance and poor management. The court has instructed Byju's to keep the money from the rights issue separate until the case is settled.

During a meeting in February, shareholders voted to remove Byju Raveendran from his role. Byju's has also asked the Karnataka High Court to stop decisions made at the meeting. The court has temporarily stopped any resolutions from being enforced.