Edtech startup Vedantu raised $100 million in a Series D funding round led by investment firm Coatue, the company announced on Thursday. Vedantu’s existing investors include Tiger Global, GGV Capital, Westbridge and Omidyar.
With this, Vedantu’s valuation is at $600 million, which the company said makes them the second most valued Indian edtech startup. Vedantu had closed its Series C round just five months ago, in February, where it got $24 million.
The funding saw participation from existing investors, Vedantu said. In addition, Coatue’s Managing Director Rahul Kishore joined the board of Vedantu.
Rahul Kishore, the Managing Director, of Coatue said, "Online learning adoption in India is at an all-time high setting a new benchmark for the rest of the world. As we continue to focus on driving high-growth ventures, our investment in Vedantu marks our entry into the Indian EdTech market. This move underlines our strategy to partner with companies that are strategically positioned for high growth & scale. We are excited to partner Vedantu in their next stage of growth."
Vedantu’s CEO and co-founder Vamsi Krishna said that the lockdown is the best time for the company to drive more adoption for live classes. “On top of adding new categories, we will use the funds to invest into content and technology to create the world’s best LIVE teaching-learning experience,” he said.
Vedantu offers live tutoring for students in the K-12 live tutoring space, and also offers coaching for competitive exams.
According to the company, it recorded a growth of 220% during the lockdown as schools closed and classes moved online, and said that more than eight million hours of live classes were given. In addition, the company has also launched a coding program for kids between the ages of six and 12.
In the last three months, the company has reportedly added 1-1.5 million students. According to a report in Entrackr, the company’s revenue in April grew 80%.
“With this definitive shift in consumer behaviour from offline to online, Vedantu is investing to scale impact, expand into new categories, and firmly establish itself as the leading brand in the online LIVE tutoring space,” Vedantu said in a release.