Shareholders don’t object to raising authorised share capital
This would facilitate the process of raising $200 million through rights issue
NEW DELHI: Shareholders of edtech major Think and Learn, owner of Byju’s brand, raised no objection to the resolution to increase authorised share capital of the company in the extra-ordinary general meeting held on Friday, company sources said.
According to the sources, none of the miffed investors, who proposed to oust Byju’s founder and family from the management seat, took part in the meeting.
“Meeting started at 10 am with approximately 20 investors representatives in attendance along with Think & Learn management. The requisite quorum required for EGM was there. Few questions regarding the postal ballot were asked and answered by the chairman and CS Resolutions were called out. No objections raised,” sources said.
Byju’s held the EGM (extra-ordinary general meeting) to increase authorised share capital of the company to complete the process for raising $200 million through rights issue. A group of four investors - Prosus, General Atlantic, Sofina, and Peak XV - along with support from other shareholders, including Tiger and Owl Ventures, have approached the National Company Law Tribunal (NCLT) against Byju’s EGM. The six investors jointly hold 32 per cent stake in the company.
“Meeting ended at 10:30 AM. Further details on the voting and culmination of Rights Issue will be shared later post scrutiniser’s report. Contrary to media reports, none of the miffed investors attended the EGM personally to raise any of their concerns,” a Byju’s source said. A source from the investor side contested the claim and said that the authorised representatives of all investors attended the EGM.
“Nobody boycotted it. People can vote either at EGM or postal so we will not know the result until after 6 April,” the source said. The option to vote on the Byju’s resolution through postal ballot will close on April 6.
