Key Event: Creation of Pledge

J.K. Shah Commerce Education Limited (JSCEL) executed a Pledge Agreement on October 13, 2026. This action is pursuant to the terms of its previously issued Non-Convertible Debentures (NCDs) amounting to ₹143 Crores (Rs. One Hundred and Forty-Three Crore Only).

Purpose and Rationale

The purpose of the pledge is to provide security for the NCDs issued by JSCEL.

Parties Involved

The agreement is entered with:

  • SBICAP Trustee Company Limited: Acts as the debenture trustee for the benefit of the NCD holders.
  • BB Publication Private Limited and Tapasya Educational Institutions Private Limited: These subsidiaries of JSCEL are also parties to the agreement as the entities whose shares are being pledged.

Details of the Pledge

  • Size of Agreement: The pledge secures NCDs comprising up to 14,300 Senior, Unlisted, Secured, Unrated, Redeemable Non-Convertible Debentures.
  • Face Value: ₹1,00,000 per NCD.
  • Total Aggregate Value: ₹143 Crores.
  • Pledged Assets:
  • 5,100 equity shares in BB Publication Private Limited.
  • 26,50,725 equity shares in Tapasya Educational Institutions Private Limited.

Significant Terms and Impact

  • The pledge is described as a customary security arrangement for the NCDs.
  • It may be invoked by the Debenture Trustee only upon the occurrence of events of default as specified in the transaction documents.
  • The company confirms that no such event of default has occurred as of the date of this disclosure (October 13, 2026).
  • The pledge does not result in any change in the ownership of the pledged shares or in the management or control of the subsidiaries BB Publication Private Limited and Tapasya Educational Institutions Private Limited.
  • The company states there is no adverse impact on its operations from this pledge.

Related Party Status

JSCEL confirms that the parties to the agreement (SBICAP Trustee Company Limited, BB Publication Private Limited, and Tapasya Educational Institutions Private Limited) are not related to the promoter/promoter group/group companies. The transaction is not a related party transaction.