The Manipal Group, led by Ranjan Pai, has been given the go-ahead by the CCI to buy shares in Byju’s- owned Aakash Institute

In January, Aakash's board agreed to turn Pai’s $300 million investment into shares. As a result, Pai became the largest shareholder in Aakash with a 40% stake.

The Competition Commission of India (CCI) has given the green light for Manipal Health Systems Pvt Ltd and MEMG Family Office LLP to acquire a major stake in Aakash Educational Services Limited by converting existing debt into equity.

Ranjan Pai, who heads Manipal Education and Medical Group, took on Rs 1,400 crore in debt from Aakash Educational Services last November. This move was aimed at helping Byju's, an edtech company facing financial troubles, pay off its debt to Davidson Kempner Capital Management, a US-based firm. Byju's shares in Aakash were used as collateral for this debt.

The CCI’s recent approval means that Manipal Health Systems and MEMG Family Office will receive specific equity shares in Aakash. Manipal Health Systems is known for operating hospitals and providing healthcare, while MEMG Family Office offers consultancy services.

The approval also includes the option to transfer some of these equity shares.

Aakash Educational Services, which Byju's acquired for $950 million in 2021, has shown strong growth since then. 

For the financial year ending March 2022, Aakash reported a profit of Rs 79.5 crore, an impressive 82.2% increase from the previous year. 

The company’s revenue also climbed by 44.6% to Rs 1,421.3 crore.

Aakash offers a range of coaching services, including classroom-based, online, distance learning, and hybrid programs. It serves over 400,000 students at more than 310 centers across India.