India's largest EdTech firm BYJU's is raising INR 2,200 crore (about $296 million) in a new funding round that values the company at $18 billion, according to data released by research firm Tofler.
Oxshott Venture Fund, Edelweiss Private Investments Trust, IIFL, Verition Multi-Strategy Master Fund, XN Exponent Holdings, and MarketX Ventures were said to be among the investors.
According to the company's filings with the Ministry of Corporate Affairs, BYJU's will allot a total of 77,174 Series F compulsory convertible cumulative preference shares (CCPS) at a premium price of INR 2,85,062. As per the filings, a majority of 42,095 shares will be allotted to Oxshott Venture Fund for an investment of ₹1,200 crores. While Edelweiss will invest INR 345 crore, XN Exponent Holdings will invest Rs 150 crore, Verition Multi-Strategy Master Fund will invest Rs 147 crore, MarketX Ventures will invest INR 144 crore, and IIFL will invest INR 111 crore, the filings reveal.
The new funding comes a few weeks after BYJU's has raised $150 million from Asmaan Ventures, Mirae Asset, and ARK Ncore among others.
The investment also comes on the heels of BYJU’s acquiring US-based coding startup Tynker for about $200 million last month. The EdTech giant has already spent over $2 billion in mergers and acquisitions in 2021. Overall, the Bengaluru-based firm has made nine acquisitions in the EdTech space this year and has acquired more than 15 since its inception.
BYJU'S, which has raised over $1.8 billion since the beginning of the pandemic, has used a significant portion of its recent fundraises to acquire firms. Earlier this year, it bought Aakash Educational Services Ltd, one of the largest coaching institutes for high-school students with over 200 centers, for nearly $1 billion. It has also purchased professional upskilling platform Great Learning and digital reading platform for kids Epic, among others, for over $1 billion in cash and stock deals. The company has also recently acquired the online test prep platform Gradeup to bolster its presence in the fast-growing online competitive examination preparation category.
BYJU'S claims to have over 100 million registered students including 6.5 million paid subscribers on its platform. The company recorded an 82.31% surge in its revenue from operations to Rs 2,381 crore in FY20 from Rs 1,306 crore in the previous year.
Meanwhile, BYJU'S is reportedly in talks with several investors to raise $1.5 billion at an over $21 billion valuation. The company is also preparing for a public listing. As per media reports, the company may file IPO papers as early as the second quarter of next year and is looking for a valuation of $40 to $50 billion.