Navneet Education Limited’s subsidiary, Navneet Learning LLP, has entered into an agreement to divest its partial stake in K12 Techno Services Private Limited for an expected consideration of ₹329.68 crore. The agreement was executed on July 17, 2026, with Kenro Capital Education Affiliates II Pte Ltd and Kenro Capital Fund I. The transaction is anticipated to be completed around four weeks from the date of the agreement, subject to the satisfaction of customary conditions.

The buyers are affiliated with Kenro Capital, a specialist secondaries investment firm with an AUM of over USD 100m. Kenro Capital focuses on investments in growth-stage companies across India and Southeast Asia, spanning consumer, financial services, healthcare, and technology sectors. The entities purchasing the stake do not belong to the promoter or promoter group of Navneet Education Limited, and the transaction is not classified as a related party transaction.

Financial Details of Navneet Learning LLP

The disclosure provided details regarding the financial standing of the divesting subsidiary for the period ended March 31, 2026. The subsidiary reported nil turnover during this period.

The net worth of Navneet Learning LLP represents 3.89% of the consolidated net worth of Navneet Education Limited as per its last audited consolidated financial results as on March 31, 2026. The transaction falls outside the scope of a Scheme of Arrangement, and the disclosures regarding slump sale are not applicable to this deal.

Navneet Education Limited has received an advisory from the Office of the Assistant Commissioner of State Taxes, State Intelligence and Preventive Unit, Patiala at Shambhu, Punjab, regarding the verification of compliance with Input Tax Credit (ITC) reversal norms. The advisory, received on July 15, 2026, specifically pertains to Section 17(2) of the Central Goods and Services Tax Act, 2017 read with Rules 42 and 43 of the CGST Rules, 2017. This regulation concerns the reversal of ITC attributable to exempt supplies, a matter that could affect the company's tax liabilities if non-compliance is found.

The authority observed that navneet education made both exempt and taxable supplies during FY 2025-26 and FY 2026-27 (up to May 2026). Consequently, the company has been directed to furnish the prescribed reconciliation and invoice-wise ITC details. Additionally, it has been advised to reverse any ineligible ITC in accordance with the provisions of the GST law. The communication was received via email on July 15, 2026, at 9:21 p.m.

Details of the Advisory

The advisory focuses on ensuring that the ITC claimed by the company does not include credits related to exempt supplies, which must be reversed.

Company Response and Impact

Navneet Education stated that there is no material impact on its financials, operations, or other activities as a result of this GST advisory. The company clarified that the communication is in the nature of an advisory seeking verification and compliance. It affirmed that it is in the process of furnishing the requisite information and reconciliation to the authorities. The disclosure was submitted by Amit D. Buch, Company Secretary, on July 16, 2026.