ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailPositive ArrowIcon PrintIcon Twitter
DealStreetAsia

Edtech startup Byju becomes biggest unicorn in India

Company raises $340m, surpassing fintech unicorn Paytm

 Demand for online learning is rapidly increasing in India, amid the ongoing COVID-19 crisis. (Photo by Kosaku Mimura)

NEW DELHI -- Education technology company Byju's has overtaken Paytm to become the most valuable Indian startup after raising about $340 million in fresh funding at a valuation of $16.5 billion.

Digital payments company Paytm is currently valued at about $16 billion.

According to a report in the Economic Times, investors in Byju's latest round included UBS Group, Blackstone, Zoom founder Eric Yuan, Abu Dhabi sovereign fund ADQ and Phoenix Rising-Beacon Holdings.

The capital injection is part of a $1.5 billion funding round that the company started in April, the report said. Byju's raised $1 billion in April from Baron Funds, B Capital Group and XN Exponent Holding, along with existing investors.

The company raised more than $1.18 billion last year alone from investors including Mary Meeker's venture capital firm Bond Capital, DST Global, BlackRock, T. Rowe Price, Silver Lake and MC Global.

With the increased demand for online learning amid the ongoing COVID-19 crisis, Byju's is looking to grow through acquisitions and enter the new segments of test prep and upskilling.

In April, Byju's announced the purchase of Aakash Educational Services Ltd. (AESL) with the aim of boosting its presence in the test preparation segment. The acquisition was worth almost $1 billion, making it one of the biggest deals in the edtech space.

The company is reportedly also in advanced talks to acquire upskilling platform Great Learning and test prep firm Gradeup.

Launched in 2015, Byju's claims to have more than 80 million students, including 5.5 million annual paid subscribers. The company saw revenue grow at a compound annual growth rate of 125% over the past three years to about $400 million. It aims to close fiscal 2021 with $1 billion in revenues, per a Financial Express report.

For the original story from DealStreetAsia, click here.

DealStreetAsia is a financial news site based in Singapore that focuses on private equity, venture capital and corporate investment activity in Asia, especially Southeast Asia, India and greater China. Nikkei owns a majority stake in the company.

Sponsored Content

About Sponsored Content This content was commissioned by Nikkei's Global Business Bureau.

You have {{numberArticlesLeft}} free article{{numberArticlesLeft-plural}} left this monthThis is your last free article this month

Stay ahead with our exclusives on Asia;
the most dynamic market in the world.

Stay ahead with our exclusives on Asia

Get trusted insights from experts within Asia itself.

Get trusted insights from experts
within Asia itself.

Try 1 month for $0.99

You have {{numberArticlesLeft}} free article{{numberArticlesLeft-plural}} left this month

This is your last free article this month

Stay ahead with our exclusives on Asia; the most
dynamic market in the world
.

Get trusted insights from experts
within Asia itself.

Try 3 months for $9

Offer ends July 31st

Your trial period has expired

You need a subscription to...

  • Read all stories with unlimited access
  • Use our mobile and tablet apps
See all offers and subscribe

Your full access to Nikkei Asia has expired

You need a subscription to:

  • Read all stories with unlimited access
  • Use our mobile and tablet apps
See all offers
NAR on print phone, device, and tablet media

Nikkei Asian Review, now known as Nikkei Asia, will be the voice of the Asian Century.

Celebrate our next chapter
Free access for everyone - Sep. 30

Find out more