Some investors have opposed the convening of an extraordinary general meeting (EGM) of shareholders of Think and Learn, the company that operates edutech company Byju’s, on March 29. Investors have protested in the company tribunal NCLT, but they could not get immediate relief. According to Bhasha news, sources said that some investors have filed an application before the Bengaluru bench of the National Company Law Tribunal (NCLT) opposing the decision to call the EGM on March 29. But they have not got relief on the demand of banning EGM.
Case listed for hearing on March 28
According to the news, the tribunal has listed this case for hearing on March 28. After recently bringing a rights issue of US $ 200 million, Byju has called an EGM on March 29 to increase the authorized share capital of the company. No response was received to questions sent to Byju and some key investors in this regard. A group of four investors of Byju’s has filed a case of harassment and mismanagement against the company’s management before the Bengaluru bench of NCLT.
Demand to appoint a new board
The lawsuit demands the ouster of the company’s founder and chief executive officer (CEO) Byju Raveendran and other founders and the appointment of a new board. Additionally, the lawsuit also seeks to declare the recently concluded rights issue void. Let us tell you, only last month, Byju’s investors had appealed to the company to stop the rights issue of $ 200 million along with embezzling $ 533 million in an obscure hedge fund in America.
Edutech company Byju, which is continuously in trouble, has paid a part of the pending February salaries of more than 20 thousand employees this month. Investors have for some time accused the management of non-compliance, misinformation and hiding information. He is seeking details on AESL acquisition, loan terms, investigation, audit and board reconstitution for better oversight and governance.
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