Byju’s investors vote to remove CEO after ‘rowdy’ Zoom call - What Next ?
Following an hours-long Zoom session on Friday, major investors in the beleaguered edtech company Byju's decided to remove founder Byju Raveendran from his position as CEO.
According to Bloomberg News, which cited two attendees, the Extraordinary General Meeting (EGM) that Byju's key investors summoned saw delays in the proceedings due to attempts by a few edtech company workers to sabotage the event. It was stated that anonymous attendees made repeated attempts to sabotage the meeting's operations by making loud noises, including whistles.
According to Bloomberg News, which cited two attendees, the Extraordinary General Meeting (EGM) that Byju's key investors summoned saw delays in the proceedings due to attempts by a few edtech company workers to sabotage the event. It was stated that anonymous attendees made repeated attempts to sabotage the meeting's operations by making loud noises, including whistles.
Byju’s rejects EGM outcome
The motions approved by investors at the EGM, including the one to remove Raveendran from the company's board, have been rejected by Byju's.
The business statement cited in a Bloomberg story states that "the resolutions passed during the recently concluded extraordinary general meeting - attended by a small cohort of select shareholders - are invalid and ineffective."
Byju Raveendran and his family did not attend the EGM because they thought it was "invalid."
The business statement cited in a Bloomberg story states that "the resolutions passed during the recently concluded extraordinary general meeting - attended by a small cohort of select shareholders - are invalid and ineffective."
Byju Raveendran and his family did not attend the EGM because they thought it was "invalid."
What Happens Next?
Although a majority of investors voted to remove Byju Raveendran from his position as CEO of the firm, the vote will be postponed until march 13 due to a petition filed by Byju Raveendran challenging the investors' decision to ask for an EGM.
The karnataka High court refused to put an end to the EGM's proceedings on Wednesday, but it did order that any resolutions approved would be delayed until the next hearing.
In anticipation of the EGM's result, Byju's had previously released a statement.
"The resolutions approved at the most recent EGM, in which a small number of shareholders participated, are null and void and have no legal force behind them," stated Byju's.
The karnataka High court refused to put an end to the EGM's proceedings on Wednesday, but it did order that any resolutions approved would be delayed until the next hearing.
In anticipation of the EGM's result, Byju's had previously released a statement.
"The resolutions approved at the most recent EGM, in which a small number of shareholders participated, are null and void and have no legal force behind them," stated Byju's.
The corporation stated, "At best, the adoption of these unenforceable resolutions represents a challenge to the rule of law. We firmly believe that."
As things stand, the court's decision on march 13 will determine Byju Raveendran's and his family's future.
As things stand, the court's decision on march 13 will determine Byju Raveendran's and his family's future.