Byju’s shareholders have given the green light for a rights issue aimed at addressing the company’s liquidity challenges, which include outstanding salaries, regulatory obligations, and payments to vendors. The approval, secured with a 55% majority, entails a significant increase in the authorized share capital of the edtech firm. Byju’s noted that the rigorous voting process, encompassing an Extraordinary General Meeting (EGM) and a postal ballot that concluded on April 6, 2024, underwent thorough scrutiny by an independent third party.

This pivotal rights issue sets the stage for the rollout of BYJU’S 3.0, representing a strategic pivot for the company. However, despite the successful approval, Byju’s finds itself constrained from accessing the proceeds due to a directive from the National Company Law Tribunal (NCLT). The NCLT’s injunction prohibits the utilization of funds from the rights issue pending further legal proceedings, with the next hearing scheduled for April 23.

The announcement of the rights issue follows closely on the heels of significant organizational changes within Byju’s. The departure of CEO Arjun Mohan marks a pivotal moment as the company undertakes a comprehensive restructuring. With founder and Group CEO Byju Raveendran assuming direct oversight of day-to-day operations, Byju’s aims to streamline its activities and navigate the current challenges effectively.

Certainly! Byju’s recent organizational restructuring underscores its commitment to adaptability and resilience amidst evolving market conditions. Founder Byju Raveendran’s expanded role in leading the company’s operational efforts reflects a strategic shift towards focused leadership and efficient management.

A Non-Dilutive Grant Fund for Young Entrepreneurs is Launched by Nikhil Kamath

Zerodha co-founder Nikhil Kamath has unveiled the WTFund, a sector-agnostic grant fund aimed at supporting entrepreneurs aged 25 and under. The fund intends to select 40 promising entrepreneurs through a rigorous screening process, offering them a non-dilutive grant of ₹20 lakh each. Notably, this grant allows founders to retain full equity in their ventures until they secure their first institutional funding. In addition to financial support, entrepreneurs will gain access to mentorship, a vibrant community, a Go-To-Market studio, beta testing opportunities, and talent acquisition channels. The WTFund, open to applicants from all sectors, seeks to identify the top 1% of young entrepreneurs, emphasizing its commitment to fostering innovation and supporting the next generation of business leaders.

ShareChat Raises $49 Million from Current Investors via Convertible Debentures

Homegrown social media platform ShareChat has successfully raised $48.89 million in a debt round led by existing investors, including Lightspeed, Temasek, Alkeon Capital, Moore Strategic Ventures, and HarbourVest. This fresh infusion of capital will enable ShareChat to further develop its ad targeting technology and expand its consumer transactions business, particularly on ShareChat Live and Moj Live. ShareChat app’s operational profitability and the anticipated operational profitability of short video app Moj underscore the platform’s growth trajectory and market potential, positioning it for continued success in the competitive social media landscape.

Parsons Nutritionals Gets ₹700 Crore Investment from Lighthouse Funds

Private equity fund Lighthouse Funds has injected ₹700 crore into Parsons Nutritionals, a prominent contract manufacturer in the FMCG space. This significant investment, facilitated by Lighthouse India Fund IV, underscores the fund’s confidence in Parsons’ growth prospects and market position. Co-investors, including the International Finance Corporation (IFC) and leading family offices, further validate Parsons’ potential in the FMCG sector. Parsons’ diverse product portfolio, spanning packaged food and beverages to personal care categories, positions the company for sustained expansion and success in both domestic and international markets.

$12 million is secured by JJG Aero from CX Partners

Aerospace components manufacturer JJG Aero has secured $12 million (₹100 crore) in its inaugural funding round, led by CX Partners. The infusion of capital will primarily fuel JJG Aero’s expansion initiatives, including increasing manufacturing capacity, vertical integration, and corporate development. With a focus on high-precision machined components and specialized process finishing capabilities, JJG Aero serves esteemed American and European OEMs and Tier-1 vendors. This investment underscores CX Partners’ confidence in JJG Aero’s growth potential and its strategic position within the aerospace industry.

$5 million in Series A Funding Round from BIF and Other Parties is Secured by ClaimBuddy

Health insurance claim assistance platform ClaimBuddy has closed a $5 million Series A funding round led by Bharat Innovation Fund (BIF), with participation from Japanese fund CAC Capital, Chiratae Ventures, Rebright Partners, and other existing investors. This capital infusion will enable ClaimBuddy to advance its technology, expand its team and sales network, and diversify its product offerings to better serve its growing network of partner hospitals and patients. With a track record of processing claims for over 35,000 patients valued at over 500+ Crores, ClaimBuddy is poised for accelerated growth and impact in the healthcare sector.