Exclusive: Suniel Shetty-Backed Klassroom Edutech Raises Funding To Expand Its AI Play

Education OTT platform Klassroom Edutech has secured an undisclosed amount in a Pre-Series A funding round led by ah! Ventures, along with participation from LetsVenture, Hem Securities, Meteor Ventures and Growth Sense Fund.

Klassroom will use the funding to accelerate growth by advancing AI-driven technology, improving content creation and expanding strategically into new geographic regions.

The startup plans to expand its reach into southern states like Karnataka, Telangana, and Andhra Pradesh, as well as into the northeastern states. It is also targeting key international markets such as the US, UAE, and Singapore.

Currently, the company has established a strong presence across Maharashtra, Rajasthan, Uttar Pradesh, Bihar, Madhya Pradesh, Goa, Gujarat, and Delhi.

The startup has raised over $1.5 Mn across various funding rounds so far. It counts the likes of Suniel Shetty, ah! Ventures Angel Fund, Hem Angels, Pavan Bakeri (managing director, Bakeri Group), Kishore Ganji (founder, Astir Ventures), and others under its investors.

Bollywood actor and entrepreneur Shetty, who invested in Klassroom in 2023, is supporting the Mumbai-based edtech’s social initiatives through the Suniel Shetty Scholarship Scheme.

Amit D Kumar, senior partner at ah! Ventures, said, “Education is a sector we have also believed and backed and I am sure there are more exciting milestones which Klassroom is on its way to achieve”.

Pranav Mahajani, from LetsVenture, added, “Klassroom’s innovative hybrid model, combining their Education OTT platform with offline learning centres, addresses critical challenges of accessibility, affordability, and accountability in education. We believe Klassroom is poised to redefine the future of learning in India and beyond.”

Founded in 2016, Mumbai-based Klassroom Edutech is an edtech startup building a hybrid education experience. The founders, mother-and-sons trio of Alka, Dhruv and Dhumil Javeri, are working to support rural and urban students with affordable, accessible, accountable and flexible education.

The startup aims to revolutionise education with its AI-driven Education OTT platform and claims to have a network of over 200 offline learning centres, serving more than 500,000 students across 600 cities. In addition to K-12, Klassroom also offers a test prep vertical for exams like IIT-JEE, CA, and CS, among others.

Since its launch, Klassroom’s OTT app has gained over 50,000 subscribers in its first year, reflecting its rapid adoption.

The app provides a comprehensive learning ecosystem, featuring content that spans academics, skill-based training for industry jobs, career courses, language learning, and more.

The platform is aligned with the National Education Policy (NEP) 2020 and offers students a wide range of learning experiences.

Alka Javeri, cofounder of Klassroom Edutech, said, “By combining technology and content aligned with NEP 2020, we are empowering students with holistic learning experiences.”

The company claims to have delivered 7X wealth growth to its investors in just three years and projects 3X year-on-year growth, with revenues consistently increasing. Klassroom is already profitable, a notable achievement in the sector.

Dhumil Javeri, cofounder of the startup told Inc42 that the startup is 35% EBITDA profitable and 20% PAT profitable.

Meanwhile, the startup is also planning to launch an SME IPO soon, according to the founder. While the cofounder did not share specific details, he mentioned that the IPO plans are set to unfold soon.

In addition, the Mumbai-based startup has recently signed an MOU with the Government of Rajasthan to provide skill development courses to 300,000 students across 3,000 schools.

According to Inc42’s ‘Indian Tech Startup Funding Report 2024’, startups raised over $12 Bn in funding this year, marking a 20% increase from the $10 Bn raised in the previous year.

Edtech startups raised over $568 Mn in 2024, a significant increase compared to last year, although the deal count dropped by 38%. Despite this, there has been a noticeable resurgence of investor interest in sectors like edtech.

While the edtech sector is expected to face challenges ahead, with funding projected to decline by 33% to $400 Mn, new opportunities are emerging in areas like AI-driven tutoring and gamified education platforms.

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