Trilegal leads on Varkey Group’s acquisition of 35% stake in Everonn Education

Dubai-based Varkey Group’s Gems Education has acquired 35 percent stake in Everonn Education. Varkey Group has been inducted as the co-promoter of Everonn pursuant to the transaction..The Bangalore office of Trilegal advised Gems Education with a team led by Partner Kosturi Ghosh along with Associate Ipsita Chowdhury..Varkey Group is part of a global education conglomerate that owns, operates and manages high performing schools and offers education services in public and private sectors under the brand name ‘GEMS Education’ amongst others..Everonn is well established in the Indian market for providing services in the sector through its ICT, VITELS and other divisions..Speaking to Bar & Bench on the transaction, Trilegal Partner Kosturi Ghosh said,.“The deal threw up a few interesting questions including in relation to the interplay between the FEMA and SEBI regulations as it involved a non-resident acquiring a substantial stake in a listed company”..She added,.“The new Takover Code was effected after the public announcement was made but before the close of the deal. Further, the RBI released a circular in the midst of the transaction relaxing the requirement to obtain RBI approval for transactions under the Takeover Code. The changes in law added to the facets of the deal”.