Apex court rejects plea to stop Aakash's rights issue

The Supreme Court on Monday dismissed an appeal filed by US-based lender GLAS Trust Company LLC against the rights issue proposed by Aakash Educational Services Limited (AESL), clearing the way for the capital raise that will reduce Byju's holding in the company from 25.75 per cent to about 5 per cent.

- BHAVINI MISHRA

Byju's parent company, Think & Learn Private Limited, is currently undergoing insolvency proceedings and cannot subscribe to fresh shares. GLAS Trust, representing Byju's US-based lenders, had challenged AESL’s move before the National Company Law Appellate Tribunal (NCLAT), Chennai, which rejected its plea on October 28. The lender then approached the Supreme Court, which upheld the NCLAT’s order.