BYJU’S Parent to Hold 32% Stake in Aakash After Settlement

Think & Learn Pvt Ltd (TLPL), the insolvent parent of BYJU’S, is set to hold approximately 32% of Aakash Educational Services Ltd (AESL) after a settlement resolving a long-running dispute over the coaching company’s ₹240 crore rights issue, according to a report by The Economic Times published on October 12, 2026. The revised holding would be higher than the roughly 25.75% stake Think & Learn held before the dispute, which led to a sharp reduction in its recorded shareholding.

The reported settlement involves the allotment of rights-issue shares and the transfer of existing shares to Think & Learn, with no cash consideration between Think & Learn, Aakash and the Manipal Group. The development is significant because BYJU’S parent is undergoing insolvency proceedings, while financial claims and legal disputes involving the edtech company and its founder remain unresolved. The settlement could clarify an important part of Aakash’s ownership structure, although it does not resolve every dispute connected to BYJU’S.

Key takeaways

• Revised stake: Think & Learn is expected to hold around 32% of Aakash after the settlement is fully implemented.
• Rights issue at the centre: The dispute concerned Aakash’s ₹240 crore rights issue and the treatment of shares subscribed for by Think & Learn.
• Earlier holding: Think & Learn held approximately 25.75% of Aakash before the rights-issue dispute.
• Recorded stake fell: Its recorded shareholding subsequently dropped to around 10.99% after Aakash withheld a portion of the shares it had subscribed for.
• Settlement structure: The arrangement reportedly involves allotting rights-issue shares and transferring existing shares, without cash consideration between the parties.
• Manipal’s role: The Manipal Group is involved in the settlement, while Manipal Health remains Aakash’s largest shareholder according to earlier reporting.
• Insolvency continues: The settlement concerns Aakash’s shareholding dispute and does not, by itself, end Think & Learn’s insolvency proceedings.
• Separate creditor claims remain relevant: Qatar Holding’s efforts to recover more than $235 million from BYJU’S founder Byju Raveendran form part of a wider set of legal and financial challenges.

What the BYJU’S-Aakash Settlement Means

The reported settlement is intended to resolve a dispute over Think & Learn’s ownership in Aakash Educational Services. The disagreement emerged after Aakash launched a ₹240 crore rights issue, a fundraising exercise that gave eligible shareholders the opportunity to subscribe for additional shares.

Think & Learn participated in the rights issue, but the allocation of some of the shares it had subscribed for became contested. Aakash withheld a portion of those shares, leading to litigation and a reduction in Think & Learn’s recorded stake.

According to The Economic Times, the settlement will address the issue through the allotment of rights-issue shares and the transfer of existing shares to Think & Learn. The resulting holding is expected to be approximately 32%, assuming the reported arrangement is fully implemented.

The absence of cash consideration between Think & Learn, Aakash and the Manipal Group is an important feature of the reported agreement. Instead of involving a conventional cash purchase of shares, the settlement is structured around the allocation and transfer of equity interests.

However, the reported 32% figure should be understood as the expected ownership position after implementation, rather than confirmation that every procedural step has already been completed. The final shareholding will depend on the settlement being carried out and the relevant corporate records being updated.

How Think & Learn’s Aakash Stake Changed

The dispute has materially affected the recorded ownership position of BYJU’S parent in Aakash.

Shareholding development	Reported position
Think & Learn’s stake before the rights-issue dispute	Approximately 25.75%
Recorded stake after disputed share allotment	Approximately 10.99%
Expected stake after settlement	Approximately 32%
Aakash rights issue at the centre of the dispute	₹240 crore

Source: The Economic Times and Outlook Business reporting. The 32% holding is the expected position following full implementation of the reported settlement.

The figures illustrate why the rights issue became a major corporate dispute. Think & Learn’s recorded holding fell significantly after Aakash withheld part of the shares it had subscribed for. The reported settlement would restore and increase its stake relative to the pre-dispute position.

The expected holding of around 32% would not, however, mean that Think & Learn controls Aakash outright. A 32% stake represents a substantial minority ownership position. Control depends on other shareholders’ holdings, voting arrangements, board composition and applicable corporate rules.

The settlement could therefore change the balance of ownership without automatically making Think & Learn the controlling shareholder. Manipal Health has been described as Aakash’s largest shareholder in previous reporting, and its position remains relevant to understanding the company’s governance structure.

Why the ₹240 Crore Rights Issue Triggered Litigation

A rights issue allows a company to raise additional capital by offering new shares to eligible existing shareholders, generally in proportion to their current holdings. Shareholders can subscribe for the shares by paying the required amount, subject to the terms of the offer.

Aakash’s ₹240 crore rights issue became contentious because of the treatment of Think & Learn’s subscription. The parent company argued that its position in the rights issue affected its ownership rights, while the dispute centred on shares that Aakash did not allot as expected.

The disagreement had consequences beyond the fundraising exercise. Because a rights issue can change the number of shares outstanding and the percentage ownership of existing shareholders, disputes over allotment can affect voting rights, economic interests and the company’s ownership structure.

In this case, Think & Learn’s recorded stake fell from approximately 25.75% to 10.99%. The reported settlement is intended to resolve the disagreement through the allotment and transfer of shares rather than a cash payment between the parties.

The settlement may provide greater clarity for Aakash and its shareholders, but the exact legal and corporate consequences depend on the final documentation and implementation. The reported terms should not be treated as evidence that all disputes involving BYJU’S, its creditors or its founder have been settled.

Aakash’s Ownership Structure and Manipal Group’s Role

Aakash Educational Services is a major provider of coaching and test-preparation services in India. Its programmes cover competitive examinations, including medical and engineering entrance tests, as well as school-level examinations.

The company became part of BYJU’S expansion strategy when the edtech group acquired Aakash in 2021 in a transaction valued at approximately $1 billion. The acquisition gave BYJU’S a significant presence in physical coaching centres alongside its digital learning products.

As BYJU’S faced financial difficulties and insolvency proceedings, the ownership structure of Aakash became increasingly important to investors, creditors and other stakeholders.

Manipal Health has been identified as Aakash’s largest shareholder in previous reporting. The Manipal Group’s involvement in the reported settlement is therefore relevant to the final distribution of shares and the relationship between Aakash and Think & Learn.

The arrangement reportedly requires no cash consideration among Think & Learn, Aakash and Manipal. That structure distinguishes it from a straightforward acquisition in which one shareholder purchases another’s stake for cash.

The revised ownership position could provide clarity over Think & Learn’s rights as a shareholder. It does not, by itself, establish how the settlement will affect board representation, management decisions or future capital requirements. Those questions depend on the final terms and Aakash’s governance arrangements.

Why the Settlement Matters During BYJU’S Insolvency

Think & Learn’s insolvency is central to the significance of the settlement. The parent company has been undergoing insolvency proceedings in India, placing its assets and financial interests under a process involving creditors, legal proceedings and a resolution professional.

Aakash represents an important corporate asset because it operates an established education business with physical centres, students and a recognisable brand. Clarifying Think & Learn’s ownership in the company may help establish the value and legal status of an asset associated with the insolvent parent.

However, a larger stake does not automatically translate into immediate cash available to creditors. The value of an equity holding depends on the underlying business, the rights attached to the shares, the ownership structure and the legal constraints affecting the shareholder.

The reported settlement could make Think & Learn’s shareholding easier to identify and assess. That may be relevant to the broader insolvency process, but it does not establish how much creditors will recover or whether the shares will be sold.

Think & Learn’s insolvency proceedings are also separate from Aakash’s day-to-day operations. The settlement addresses a specific ownership dispute and should not be interpreted as a resolution of BYJU’S wider financial problems.

Qatar Holding’s $235 Million Claim Remains a Separate Issue

The Aakash settlement is taking place against the backdrop of other legal and financial disputes involving BYJU’S founder Byju Raveendran.

Qatar Holding, an investment vehicle associated with Qatar’s sovereign wealth fund, has pursued recovery of more than $235 million connected to financing arrangements involving Aakash shares. The dispute includes proceedings concerning repayment obligations and the treatment of shares associated with the financing.

In September 2026, Inc42 reported that Raveendran had offered to relinquish his beneficial interest in Aakash shares as part of efforts to address Qatar Holding’s claim. That development is separate from the settlement of the rights-issue dispute between Think & Learn, Aakash and the Manipal Group.

The distinction is important because the parties, legal claims and assets involved are not identical. Resolving the rights-issue dispute may clarify Think & Learn’s shareholding, but it does not automatically settle Qatar Holding’s claim or determine the outcome of related proceedings.

In June 2026, Reuters reported that BYJU’S global lenders were also in talks over a potential settlement involving a stake in Aakash and the withdrawal of legal action against Raveendran. Those discussions reflected the broader efforts to resolve financial disputes surrounding the edtech company.

The reported October settlement concerns a specific shareholding dispute. Any conclusion about wider creditor recovery, founder liabilities or the future of BYJU’S would require separate confirmation.

What the Settlement Could Mean for Aakash

A clearer ownership structure could reduce uncertainty around Aakash’s shareholder register and the rights associated with Think & Learn’s stake. For a business operating in a competitive education market, reduced uncertainty around ownership may help stakeholders assess governance and longer-term strategic options.

Aakash’s operations include physical coaching centres and test-preparation services. Its performance depends on student enrolments, teaching quality, faculty retention, centre utilisation, pricing and its ability to compete with other coaching providers and digital learning platforms.

The ownership settlement does not directly change those operating factors. It also does not establish that Aakash will raise additional capital, undertake a restructuring or change its management strategy.

Nevertheless, ownership clarity can matter when companies need to make decisions about investment, governance or future transactions. Shareholders need to know their respective stakes and rights before they can assess such decisions.

Aakash and the Manipal Group declined to comment on Inc42’s queries about the reported settlement, according to the publication. The available reporting therefore does not provide a detailed public account of every implementation step or the parties’ views on the arrangement.

The final effect on Aakash will depend on how the settlement is completed and whether further corporate or legal developments follow.

What Happens Next?

The immediate priority is the implementation of the settlement. The reported arrangement requires the allotment of rights-issue shares and the transfer of existing shares to Think & Learn. Once the process is completed, updated shareholding records should clarify whether the parent has reached the expected 32% position.

The parties may also need to complete any required corporate and legal formalities associated with the transfer and allotment. The reported terms do not provide a definitive public timetable for every step.

Investors and other stakeholders will also be watching developments in Think & Learn’s insolvency proceedings. The value of its Aakash holding may be relevant to the broader process, but the settlement alone does not determine creditor recoveries or the final outcome of the insolvency case.

Further clarity may also emerge on related disputes involving the founder and lenders. These proceedings should be followed separately because they involve different claims and may have different legal consequences.

The Bigger Picture

The settlement highlights the complexity of resolving ownership disputes when a major shareholder is also undergoing insolvency proceedings. A rights issue that was intended to raise ₹240 crore for Aakash became the subject of litigation because of disagreement over the allotment of shares, sharply changing Think & Learn’s recorded stake. The reported agreement aims to restore clarity through share allotments and transfers rather than a cash payment.

For BYJU’S, the settlement is a development in the process of identifying and addressing the parent company’s financial and legal interests. For Aakash, it could reduce uncertainty around a major shareholder’s position. But the arrangement does not resolve every claim involving BYJU’S or guarantee a particular financial outcome for creditors.

Looking Ahead

The key milestone is the full implementation of the settlement and confirmation of Think & Learn’s resulting shareholding. The expected 32% stake would give the insolvent parent a substantial minority interest in Aakash, but its practical significance will depend on the final shareholder structure and governance arrangements. The settlement documentation and updated corporate records will be important for determining the precise position.

Beyond the Aakash dispute, stakeholders will continue to monitor Think & Learn’s insolvency proceedings and the separate legal claims involving BYJU’S founder and creditors. The settlement could clarify one important corporate asset, but it should not be interpreted as a comprehensive resolution of the edtech group’s financial crisis. Further developments will determine how the revised ownership position affects Aakash and the wider insolvency process.