Edtech startups have got immense popularity in recent years. In the Indian edtech ecosystem, Unacademy, Vedantu, and Byju’s are the three major startups. They have established themselves strongly with their latest offerings and acquisitions. Investors are also pouring a lot of money into edtech startups.
Among all edtech startups, Byju’s is the largest and the most valuable startup in India. Now, Byju’s is on the way to become the most valuable startup in India overall. As per the latest report, Byju’s is in advanced talks to raise $150 million from UBS Group. Once this deal is officially executed, its valuation will surpass $16.5 billion. With this market cap, its valuation will be more than Paytm that is currently the most valuable startup in India.
Byju’s Recent Financial Round Details
Byju’s is expanding its business globally. For the last year, Byju’s is busy with two major activities. First, it is raising funds from existing and new investors. Second, it is acquiring edtech firms to strengthen its operations.
In the latest financial round, the firm is going to raise $150 million from UBS Group. All formalities of the round are almost over. It may be announced in few days. This funding will not only surge Byju’s market cap to $16.5 billion, but it will make it the most valuable startup in India.
As per the internal reports, UBS Group will not limit its investment to $150 million. Both parties are in discussion to close a further financial deal of $150 million to make the total investment around $300 million. Byju’s is also in discussion with another investor to make the total of this fresh round around $400 million.
When Byju’s and UBS Group were contacted related to the recent fundraising event, they both declined to comment. But as per the internal sources, Musaab Javed is the man behind the current financial round success. He is the Money Manager at UBS.
Byju’s will Surpass Paytm Valuation
Paytm, the most valuable startup in India has a total valuation of $16 billion. Byju’s market cap will be half a billion more than Paytm’s market cap after the recent financial round.
Recently, Byju’s completed a financial deal of $1 billion from Facebook Inc. co-founder Eduardo Saverin’s B Capital Group as well as Baron Funds and XN, as per the Bloomberg report on the second week of April.
Investors are showing a lot of trust in the Indian startup ecosystem in 2021. Due to that, 12 Indian startups have become unicorn firm in 2021. That is a huge investment compared to 2020.
Byju’s operations have got high appreciation from existing investors including private equity giant Silver Lake Management, Owl Ventures and T. Rowe Price, alongside earlier investors like Facebook founder Mark Zuckerberg’s Chan-Zuckerberg Initiative, Naspers Ltd. and Tiger Global Management.
Recently, Byju’s got featured in World’s 100 most influential companies list released by TIME Magazine in 2021. Byju Raveendran is the co-founder and CEO of Byju’s. He belongs to a teachers’ family. His parents and Byju himself is a teacher. He still takes few classes on Byju’s platform.