If I ask you a coaching institute name for Medical Entrance preparation, what will be your answer? Most probably the answer will be Aakash Institute. People remember Aakash as one of the premium coaching institutes in India. As per Bloomberg’s latest report, Byju’s to acquire Aakash Educational Services for $1 billion.
This is one of the largest EdTech acquisition deals in the world. Byju’s is one of the largest education startups in India. The deal will be closed in the next 3 months.
About the Current Deal
When Byju’s was contacted related to the current deal, the company did not release any statement. Aakash CEO Aakash Chaudhry also did not give any response to the calls and emails given by reporters. Aakash Educational services are Delhi based, whereas Byju’s headquarter is located in Bangalore.
As per the current deal, the founders of Aakash will not be a part of the institute. They will quit totally. Aakash institute is backed by the Blackstone group. Blackstone will still be having its share in the Byju’s owned Aakash Institute.
Aakash is known for its offline centers nationwide. It prepares students for admissions to top-class Engineering and Medical institutes in India. Aakash has a total of 2.5 lakh students throughout India.
EdTech industry has grown rapidly in the pandemic time. Online startups saw a surge in their businesses, whereas offline institutes like Aakash are completely closed for the last few months.
As per the latest statement from Byju’s spokesperson, the company is open to more acquisitions and partnerships.
Byju’s Key Developments in the Recent Time
Byju’s has received a hefty amount of funding in the last 12 months. Byju’s valuation has crossed the $12 billion mark. The company’s Online teaching demand is growing rapidly because of the current covid-19 issue. Byju’s is funded by the big players like Facebook, Bond, and Tiger Global.
Byju’s founder Byju Raveendran was a teacher. He started an educational app in 2011. He targeted kindergarten to 12th-grade students. As per the latest report, Byju’s is adding 5 million users every month. Students log in to Byju’s from more than 1700 cities. Out of a total of 70 million logged-in users, 4.5 million have paid subscriptions.
Byju’s is on an acquisition spree for the last few months. They acquired the children’s coding platform WhiteHat Jr with an amount of $300 million.
Byju’s has collected a total of $800 million in funds in the last 24 months. Its valuation is almost doubled after collecting these funds.