Aakash's ₹250-crore fundraise faces legal hurdles

Aakash Educational Services, a test-prep company, is trying to raise ₹250 crore through a rights issue to stabilize its operations.

However, there's a legal dispute over whether one of its major shareholders, Think & Learn (TLPL), can participate in this fundraise.

TLPL, which is currently undergoing insolvency proceedings, deposited ₹25 crore for its share in the rights issue.

But Aakash's board has put this allotment on hold because some people think TLPL might have broken certain financial rules when it got this money.

The board is waiting for a court to decide if TLPL's money is okay to use.

Meanwhile, another shareholder, Beeaar Investco, which is linked to Byju Raveendran, has been cleared to participate.

The situation is complicated because Aakash is a valuable asset caught in the middle of Byju's insolvency and other legal battles.