Nalanda Learning — a startup focused on preschool education has raised INR 40 Cr in funding from Aavishkaar Capital.
Based out of Kolkata, Nalanda operates under the brand “Little Laureates”. The startup’s digital platform offers engaging digital content, live classes and interactive games, enabling the development of vital literacy and cognitive skills, expanding imagination, promoting creativity, and fostering engagement for early learners.
After operating exclusively in eastern India, the company has now set its sights on expanding nationally.
Speaking on this fresh investment, Tamal Mukherjee, CEO, Nalanda said, ”While the entire education sector has encountered significant headwinds on account of the pandemic, Nalanda continues to move forward and has developed the next generation learning solutions for kids at the foundation learning age.”
“We are accordingly witnessing very significant traction and receiving extremely encouraging responses from parents across India. This capital raise will help us in further enhancing our technology capabilities and improving our geographic reach to early learners and preschools across India.” Mukherjee added.
In 2020, Indian edtech startups received a total of $1.4 Bn in funding, which was the fourth-highest among all the sectors in the startup ecosystem. According to Inc42 Plus estimates, this was a 223% rise in funding compared to the previous year. Interestingly, edtech was not even considered among the top five segments a year before the pandemic.
Now, although edtech funding increased significantly, it largely revolves around industry giants. For instance, BYJU’S raised about 57% of the segment’s total funding, Unacademy raised about 10.4% and Vedantu raised 9.5%.
Slowly, even edtech startups operating in the early learning sector have come into the limelight. Apart from Nalanda, Chennai-based Flinto Learning Solutions, and Nazara backed Paper Boat Apps are other players in this space.
The edtech market is estimated to grow 3.7x in the next five years, from $2.8 Bn (2020) to $10.4 Bn (2025). Furthermore, with the growing adoption during the lockdown months, edtech services and products are expected to have an addressable base of 37 Mn-plus paid users by 2025.