Mumbai-based Eruditus has announced that it raised $650 Million in a financing round. The new funding round was led by SoftBank Vision Fund 2 and Accel.
This new round of financing, which covers both primary and secondary transactions, values the Indian startup that has been around for ten years at $3.2Billion. That’s an increase from $700M a year earlier. Canada Pension Plan Investment Board was also part of the latest round.
Eruditus, which counts Chan Zuckerberg Initiative among its backers, maintains a tie-up with over 30 top-tier universities, including MIT, Harvard, Columbia, Cambridge, INSEAD, Wharton, UC Berkeley, IIT, IIM and NUS. These universities work together with Eruditus to create courses that offer higher education for students. The courses can cost anywhere from $5,000 to $45,000.
According to the startup, it would use the new funds for more courses development and product creation.
Ashwin Damera (co-founder, chief executive at Eruditus) stated, “With this fundraise we’re excited scale up our unique business model and continue to deliver solid learning outcomes and grow our global influence at a rapid pace.” Damera sold a stake in the round that reached as high as $100 million.
This new fundraising comes as Indian startup founders are raising unprecedented capital from prominent investors. India is now the second-largest internet market in the world. Eruditus has been the 23rd unicorn, up from the 11 and 6 last year. Many investors are also doubling down on South Asian markets after China (another rare market with high growth) imposed a series regulatory changes which has resulted in the eradication of hundreds of billions.
Sumer Juneja (Partner at SoftBank Investment Advisers) stated that “with the rapid pace of technological disruption,” continuous upskilling was necessary in today’s job market. Eruditus is a leader in this area due to its partnerships with top universities and the use of technology to develop and deliver quality courses.
SoftBank’s second largest bet in India’s edtech sector is Eruditus. The Japanese investment firm has also backed Unacademy.
UpGrad, a Bangalore-based startup that specializes in higher education and upskilling courses, joined the unicorn club earlier this week. VerSe Innovation, which operates news aggregator service Dailyhunt and short video apps Josh, said early Thursday that it has raised over $450 million in a new financing round.
Publiated at Thu, 12 August 2021 06:52.38 +0000