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    Unacademy concludes $50 million secondary share sale

    Synopsis

    Tiger Global, Dragoneer, Steadview Capital and General Atlantic have purchased $50 million Unacademy shares from existing investors to increase their stake in the edtech startup.

    Tiger Global and Dragoneer had in November last year invested an undisclosed amount in Unacademy Group at a valuation of $2 billion.
    Bengaluru: Unacademy has concluded a secondary transaction round that saw Tiger Global, Dragoneer Investment Group, Steadview Capital and General Atlantic purchase $50 million-worth of shares from existing investors to increase their stake in the edtech startup.

    Tiger Global and Dragoneer had in November invested an undisclosed amount in the Unacademy Group at a valuation of $2 billion. That came two months after SoftBank Vision Fund led a $150 million funding round in the Bengaluru-based company at a valuation of $1.45 billion.

    Unacademy's surging valuation and sustained fundraising compares with that of larger rival Byju’s, which—after raising close to $1 billion last year—is in talks to raise $200 million from US-based asset manager T Rowe Price at $12 billion valuation, according to an ET report. The company is now said to have signed a billion-dollar deal to acquire Aakash Institute.

    Investors are queuing up to invest in Indian edtech startups amid the pandemic-induced boom in online classes. Investments in the sector surged 300% over the year ago to $2.22 billion in 2020, as per a report by the Indian Private Equity and Venture Capital Association and PGA Labs. Overall, India’s education market is worth $117 billion with over 360 million learners. Primary schooling comprised 66% of the spending followed by 27% on secondary education.

    Earlier on Wednesday, ET reported that edtech platform Simplilearn is in talks with global funds to raise $100-$150 million at a valuation of $700 million.

    Unacademy claims to have on its platform more than 48,000 educators, who teach students across 5,000 cities in 14 different languages. Over 150,000 live classes are conducted on the platform every month and the collective time spent is over two billion minutes on a monthly basis. In September last year, Unacademy co-founder Gaurav Munjal said that the company has grown its revenue by nearly nine times in the last 12 months.

    1 Comment on this Story

    Gaurav3 days ago
    The Psychology of Money:
    amzn.to/317sAG5
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