Stalemate in Edtech Realm: NCLAT Upholds NCLT's 'Consensual' Order on Byju’s Stake in Aakash

The National Company Law Appellate Tribunal (NCLAT) rejected Think & Learn's plea challenging a National Company Law Tribunal (NCLT) order. The order aimed to maintain the status quo on TLPL's 25% stake in Aakash Educational Services amidst fundraising plans. NCLAT deemed the NCLT order 'consensual' and declined interference.

The National Company Law Appellate Tribunal (NCLAT) has dismissed a challenge from Think & Learn, the parent company of edtech giant Byju's, over an interim order from the National Company Law Tribunal (NCLT) concerning their stake in Aakash Educational Services.

The two-member bench at NCLAT ruled that the NCLT's directive was 'consensual' and made as an interlocutory decision, which does not settle the substantive rights of the involved parties. As such, NCLAT finds no grounds for interference at this stage.

Despite contentions from TLPL's Resolution Professional about alleged share dilution and asset hypothecation, NCLT issued a consent order preserving TLPL's 25% stake in Aakash. The move couldn't be addressed further due to pending detailed submissions and an impending summer break.

(With inputs from agencies.)