Reliance Industries, India‚Äôs largest private sector company is going aggressive on the digital business space and taking the lead is Akash Ambani, the elder son of Chairman Mukesh Ambani. After the foray into the music streaming vertical with the acquisition of Saavn, the company has turned its attention to the education segment where it is picking up a majority stake in Bangalore-based ed-tech startup Embibe.
Reliance is expected to shell out $180 million (Rs 1,175 crores) for close to 73% holding in Embibe. It is reported that the process may be completed over 3 years and the stocks held by the existing investors, Kalaari Capital and Lightbox Ventures.
These details have been sourced from the filings made by Reliance with the stock exchange in a mandatory filing. The existing investors in Embibe have not reacted to the information. It has also been learnt that the promoter and CEO Adithi Awasthi will continue in her role for now.
Embibe was found in 2012 by Aditi Avasthi. The products of Embibe use artificial intelligence focused on content intelligence and automation to try and change education and have a positive impact of both students and teachers.
Reliance will leverage its presence across the country with the telecommunications and broadband backbone to connect over 1.9 million schools and 58,000 universities, claims Aksah Ambani.
It has also been reported that Embibe will deploy the funds being infused into the company in research and development with focus on using artificial intelligence in education as well as in expanding its reach to uncovered territories.
Content intelligence and automation will be the areas to be worked on to ultimately help the students and the teaching community experience the impact of technology. Kalaari and Lightbox have been the major investors in Embibe from the very beginning and the company‚Äôs share price has steadily climbed in terms of the overall valuation of the startup.