Edtech startup Edureka has raised $2 million from venture fund Leo Capital India. This is the first round of funding for the Bengaluru-based startup, which has been running on bootstrap funding.
Founder and managing partner of Leo Capital India, Rajul Garg will join the Edureka board.
Notably, Garg is an entrepreneur turned investor who founded companies such as Pine Labs and GlobalLogic.
With the maiden institutional fund, Edureka aims to scale up the team, enhance its core product and improve customer experience. The fund will be infused strategically to increase the company’s revenue by six times in the next three years.
The company was started in 2011 by Lovleen Bhatia and Kapil Tyagi with an initial capital of Rs 1.5 crore. Edureka currently has courses on technology, business, and marketing.
It also offers certification courses like its competitors such as UpGrad, Simplilearn, Coursera, EduPristine, Udacity, and others.
Besides, Edureka is a global training platform for technologies such as big data, cloud computing, artificial intelligence, and blockchain among others.
The startup claims to have around 700,000 professionals and students on board led by the US, which contributes more than 40 per cent of its learner base, followed by India.
Almost a year ago, a joint study by Google and KPMG had mentioned that online education space was worth $247 million. By 2021, the industry is expected to hit $2 billion mark.
The projected growth will largely be driven by a healthy rise in paid users. Skilling and online certification courses are currently the dominant categories with a 38 per cent share.
Edureka along with the aforementioned players will compete with each other to grab the largest pie in the online certification space.
The development was reported by Mint.