The NCLT Bengaluru bench Today(on April 3rd), issued a split decision on Byju’s investor plea, potentially leading to a third member’s involvement. The case concerns Byju’s EGM and rights issue, challenged by four investors alleging mismanagement and transparency issues. Byju’s is restrained from utilizing funds raised until the dispute is resolved, affecting salary disbursements.
Today(on 28th March), The NCLT in Bengaluru rejected a request to halt Byju’s EGM on March 29, where an increased authorized share capital will be discussed post a USD 200M rights issue. Investors are suing to remove CEO Byju Raveendran and the founders, unveiling internal divisions. The dispute impacts the company’s operations and governance, with major shareholders involved.
