After a big bang start to 2018 with its entry into the Unicorn club, edtech platform BYJU’S is getting ready to hike its valuation further. According to reports, the company is looking to raise another round of funding at a valuation of $1.8-2 Bn. The funding amount is expected to be $150 Mn.
It is also looking to add at least two new investors with participation from existing investors led by Tencent Holdings Ltd.
An email query sent to BYJU’S didn’t elicit any response till the time of publication.
BYJU’S: Expanding Presence
Founded in 2011 by Byju Raveendran, BYJU’S offers learning programmes for classes VI-XII and test preparation for JEE, AIPMT, CAT, IAS, GRE and GMAT. It launched BYJU’s The Learning App in 2015.
According to an official statement, the app is currently used by over 15 Mn users, with close to 900K paid annual subscriptions and a high annual renewal rate of 90%.
As said in an official statement, “BYJU’S has seen more than 100% growth, with revenue growing from INR 115 Cr (FY 15-16) to INR 260 Cr (FY 16-17). The company also turned profitable last quarter.”
In a VAIZLE report, BYJU’s from the edtech category was the most efficient startup in 2017.
After cementing its presence in the Indian K-12 and test preparation market, BYJU’S is currently exploring expansion into the international markets through the acquisition route.
With a total funding of $244 Mn, the company boasts of investors like Tencent, Sofina, Sequoia India, BCCL, Verlinvest and IFC as its key investors.
Recently, Bengaluru-based edtech startup Unacademy raised $21 Mn in Series C funding from Sequoia India, SAIF Partners, and Nexus Venture Partners.
A report by Google and KPMG of May 2017 expects the edtech market to have a significant impact on the online education sector, which has a potential to touch $1.96 Bn by 2021 from $247 Mn at present.
With an eye on this potential market, edtech startups are making their presence felt in the $100 Bn Indian education sector, according to the IBEF.
[The development was reported by DealStreetAsia.]