Athira Sethu
Kochi, 21 October 2024
Singapore’s Temasek, the government-funded sovereign wealth fund, has infused another $60 million of fresh capital into Upgrad, a leading online education and skills training startup. According to reports, the investment values the company at $2.25 billion.
Meanwhile, Ronnie Screwvala, founder and chairman of Upgrad, has acquired 1% stake of Bharti Enterprises in Upgrad for $20 million, a report in the Economic Times said.
Ronnie Screwvala, whose other successes include UTV, has a 45% stake in Upgrad. This is coming a day after news of co-founder Mayank Kumar’s exit.
Screwvala’s ownership makes him one of the top shareholders in edtech firm, Upgrad. Alongside Temasek, the International Finance Corporation (IFC) is also a major investor in Upgrad.
At present, Upgrad has reportedly a quarterly revenue of around Rs 600 crore, which translates into almost Rs 2,400 crore for the financial year. According to reports, the reason Screwvala is betting big on Upgrad is that the edtech firm is all set to go public in India.
At $80 million, this round of funding was the biggest investment in the education technology space, which has been facing funding winter for last two years. However, things have turned better for the sector in recent time. While PhysicsWallah has recently raised $210 million, Eruditus has raised about $150 million.
Although Upgrad is facing challenges in the form of increasing competition and higher operational costs, it is reporting healthy growth. The company boasts of partnership with over 20 prominent universities and has more than 70 courses on various subjects ranging from data science to management, digital transformation, technology, and law.