Chinese electronics manufacturer OPPO Mobiles has filed a petition in the Bengaluru bench of the National Company Law Tribunal (NCLT), seeking initiation of insolvency proceedings against troubled edtech major Byju’s.
OPPO’s petition, filed under Section 9 of the Insolvency and Bankruptcy Code (IBC), was accepted by the tribunal on Wednesday.
The NCLT has granted Byju’s a two-week window to respond. The next hearing for the case is listed on May 28.
Sources within Byju’s confirmed the developments without providing further details.
OPPO’s plea is latest in the growing list of entities who have dragged Byju’s to the NCLT, including the Board of Control for Cricket in India (BCCI), foreign Term Loan B lenders, France-based vendor Teleperformance Business Services, and IT service provider Surfer Technologies.
A group of unhappy investors, including Prosus, General Atlantic, Sofina and Peak XV — along with support from other shareholders, including Tiger Global and Owl Ventures, has also filed an oppression and mismanagement suit against the company.
The group has also opposed a recently concluded rights issue. In an interim order, the NCLT had directed the funds received by the company from the rights issue be kept in a separate escrow account and not be withdrawn till the disposal of the matter. The next hearing on this matter is listed for June 6.