Edtech unicorn Byju’s in continuation of its acquisition spree has added learning app Toppr and upskilling platform Great Learning to its acquisitions list in a cash and stock deal, according to regulatory filings of the company. The deal is reportedly worth a combined $750 million. Including these two, Byju’s has so far acquired six startups in 2021, across India and the US.
Byju’s had recently raised $1.5 billion from Blackstone Group LP, UBS Group, Abu Dhabi sovereign fund ADQ, among others, at a valuation of $16.5 billion, making it the highest valued Indian startup. In the process, it overtook Paytm’s $16 billion valuation.
According to reports, Byju’s is likely to spend $600 million to acquire Great Learning and a further $150 million to acquire Toppr. With this, Byju’s has already spent over $2.2 billion in acquiring complementary businesses in 2021 alone.
Byju’s will be acquiring 25.83 lakh ordinary shares in Great Learning Education Pte Ltd for exchange of its Series F shares worth Rs 733.1 crore (around $98 million), which have been allotted to Great Learning’s existing shareholders LMK Holdings Ltd. and Matrix Benefit Trust, filings show.
Filings also indicate that Byju’s will be offering 17,036 Series F preference shares worth Rs 425.9 crore (around $57.2 million) to Toppr’s existing shareholders. These include Helion Venture Partners, Eight Roads, Alteria Capital, Ramakant Sharma – founder of Livspace, Kaizen PE, FH Learn LLP, and Learn 2 Holdings Ltd.
Byju’s acquisition of Great Learning is expected to increase its offerings for international markets, while its acquisition of Toppr is likely to help the edtech firm in consolidating its market position in the K-12 learning segment.
The latest acquisition by Byju’s comes following two major deals recently. It had earlier acquired Epic, a leading digital reading platform for kids 12 and under, for $500 million. Prior to this, it bought Aakash Institute for nearly $1 billion earlier this year.
Byju Raveendran, founder and CEO of Byju’s, said, “Empowering learners with the right futuristic skills forms a fundamental part of our vision. Great Learning is a globally recognised and reputed professional education company and this partnership expands our reach into this new segment. We are united in our mission to provide professionals with high-quality and industry-relevant learning programs in this competitive global economy. With our combined strength, we aim to become a global market leader in this segment.”