The Byju's saga took another twist this week. Think & Learn Pvt Ltd (TLPL), the bankrupt parent of edtech giant Byju's, used part of a loan repayment received from Great Learning Education Services to subscribe to Aakash Educational Services' rights issue, ETtech reported on October 20, 2026. It is a striking footnote in the long-running story of startup funding in India's most dramatic downfall.
The ₹160 crore trail
The money represented repayment of a ₹160 crore unsecured loan Great Learning — an upskilling company once part of Byju's — had taken from TLPL. Per Great Learning's financial statements, the loan carried 6.25% annual interest, with ₹100 crore due by July 25, 2025 and another ₹60 crore by November 30, 2025.
Why it matters
A September 28 National Company Law Tribunal order approving TLPL's settlement with Aakash, the Manipal Education & Medical Group and other parties records the utilisation of a portion of the Great Learning money. The transaction shows how the cash-strapped company funded its effort to preserve its holding in one of the few valuable assets remaining in the Byju's ecosystem. The settlement resolves a dispute over Aakash's ₹240 crore rights issue, and TLPL is expected to hold around 32% of Aakash once it is fully implemented — up from about 25.75% before the dispute.
Why it matters for founders
This is a cautionary tale about cap-table hygiene: rights-issue mechanics, share withholding, and NCLT proceedings can tie up a startup for years. If your startup has a distressed investor, get airtight shareholder agreements and rights-issue terms now — because when the dispute arrives, the paperwork is all you have.