Allen said that Doubtnut’s team will continue its focus on building doubt resolution experience for students following the acquisition
While the financial details of the deal were not disclosed, as per reports, it was a stress sale for about $10 Mn
Founded in 2017, Doubtnut counts big names like Peak XV Partners, Omidyar Network India and Waterbridge Ventures among its investors
Allen Career Institute has acquired AI-led doubts solving platform Doubtnut with an eye on building technology-led learning solutions focused on improving students’ learning outcomes.
In a statement, Allen said that Doubtnut’s team will continue its focus on building doubt resolution experience for students.
Founded in 2017 by IIT-Delhi alumni Tanushree Nagori and Aditya Shankar, Doubtnut offers a multilingual online learning platform using technologies such as image recognition, natural language processing and proprietary AI/ML algorithms. It provides video-based solutions to students’ queries and currently has a monthly reach of 32 Mn students across digital apps, websites and YouTube channels.
While the financial details of the deal were not disclosed, Entrackr said it was a fire sale for about $10 Mn.
Allen said it will provide its enriched curriculum and academic offerings to Doubtnut’s students and cater to their needs for a better education.
Commenting on the acquisition, Allen CEO Nitin Kukreja said, “Timely and effective resolution of doubts is a core consumer need in education. Doubtnut’s platform will allow us to greatly enhance the learning experience for our students. We are also excited by the prospects of offering Allen’s high quality academic products to a wider audience.”
Founded by Rajesh Maheshwari in 1988, Allen Career Institute is a test-prep brand that has a pan-India base with more than 200 classroom centres in 53 cities. The institute offers a range of programmes, including classroom coaching, distance learning, online tests, and study material, tailored to the needs of students at different levels.
Doubtnut counts big names like Peak XV Partners, Omidyar Network India and Waterbridge Ventures among its investors. The platform last raised INR 224 Cr (about $31 Mn) in a round led by Hong Kong-based venture capital firm SIG Investments and James Murdoch’s Lupa Systems in 2021.
The development comes at a time when the edtech ecosystem is reeling due to a decline in demand and capital crunch due to the ongoing funding winter. This has resulted in a number of edtech unicorns like BYJU’S, Vedantu and Unacademy laying off employees in the last two years.
Meanwhile, Allen has been looking to further strengthen its position in the education sector by making the most of the slowdown in the edtech space. Last year, it also launched its digital vertical – Allen Digital.
Earlier this year, Allen appointed Meta executive Abha Maheshwari as the CEO of Allen Digital to build digital and tech teams in Bengaluru to help create digital-first products for the students.
Last year, Allen was also involved in a legal dispute with Unacademy regarding the recruitment of teachers for its offline coaching centres. The conflict unfolded as Unacademy sought to enlist instructors associated with Allen.