Byju’s offers dissenting investors another opportunity to participate in rights issue

This is done so that their shareholding is not diluted [View in browser]( [See all newsletters]( 30 March 2024 Byju’s offers dissenting investors another opportunity to participate in rights issue In a bid to make a peace offering, Byju Raveendran, founder and CEO of embattled edtech major [Byju’s]( has offered the dissenting investors — Peak XV, Prosus, General Atlantic, Chan-Zuckerberg Initiative a chance to invest in the rights issue, according to a letter sent by him to shareholders on Friday morning. businessline has seen a letter that Byju Raveendran wrote to investors in this regard. This is done so that their shareholding is not diluted. He also informed investors that the company has secured more than 50 per cent votes to increase the authorised share capital to account for the $200 million rights issue. - Also read: [Byju’s $200-mn rights issue on track as NCLT refuses to halt EGM]( “As you are aware, we closed the rights issue last month, which was a crucial step towards ensuring the sustainability and growth of our company in these challenging economic conditions. I am happy to inform you that, in response to the postal ballot which was announced on March 7, we already got more than 50 per cent votes to the increase in authorised share capital,” wrote Raveendran in the letter. He added that despite the ‘animosity shown by some of the investors in pursuing uncalled for legal actions’, the company continues to show ‘good faith’ towards all the shareholders and would like them to be part of the turnaround story. “While we have received significant interest from third parties, our priority remains with our existing shareholders and hence we are looking at how we can extend this opportunity to all of you,” Raveendran added in his note. On Thursday, the Bengaluru bench of [NCLT]( refused to stay Byju’s extraordinary general meeting (EGM) scheduled for Friday to increase its authorised share capital for the critical rights issues. Simultaneously, the Karnataka High Court also extended the interim stay on outcomes of an EGM called by investors to remove company founder Byju Raveendran as chief executive officer in February. You Might Also Like [PM Modi to Bill Gates: Aim higher, surpass AI with innovation]( [News]( [PM Modi to Bill Gates: Aim higher, surpass AI with innovation]( [Ambani and Adani unite: Reliance acquires 26% stake in Adani’s power project]( [Companies]( [Ambani and Adani unite: Reliance acquires 26% stake in Adani’s power project]( [Procurement through govt's online marketplace GeM crosses ₹4 lakh crore so far this fiscal]( [Economy]( [Procurement through govt's online marketplace GeM crosses ₹4 lakh crore so far this fiscal]( [Laudable progress in direct taxes but scope for betterment remains]( [Economy]( [Laudable progress in direct taxes but scope for betterment remains]( Stay informed Subscribe to businessline to stay up-to-date with in-depth business news from India [arrow]( Copyright @ 2024, THG PUBLISHING PVT LTD. If you are facing any trouble in viewing this newsletter, please try [here]( Manage your newsletter subscription preferences [here]( If you do not wish to receive such emails go [here](