Joshi's exit follows CEO Mehrotra's departure as AESL navigates capital raise, governance turbulence, and strategic restructuring

Aakash Educational Services (AESL) has seen the resignation of its chief financial officer (CFO), Vipan Joshi, who has decided to resign to explore another opportunity. This comes on the heels of the earlier resignation of managing director and CEO Deepak Mehrotra in August, and the latter was replaced by Chandra Sekhar Garisa Reddy, who was at Claypond Capital.

Joshi's resignation comes in the context of AESL exploring raising capital in the form of a rights issue. The company has already received shareholder approval to raise its authorised share capital in the run-up to the rights issue, which is an important step prior to the rights issue. The capital-raising activity is intended to support the operational needs of AESL, to continue to service approximately 3.5 lakh students, and to maintain its employee base.

The corporate transitions and initiatives to raise capital speak to AESL's attempts to recommence some operational stability and secure future financial sustainability in an uncertain business environment. These are critical transitions for AESL as it tackles a series of governance challenges, the interests of shareholders, and the future of the company.