Edtech startup Byju’s is in the middle of its latest funding round which is pegged to close with the company pocketing around $200-300 million. With this, the company will reach a valuation of $3.5 billion.
At this figure Byju’s will become India’s 4th highest valued company after digital payments company Paytm, cab aggregator Ola, and budget hotel chain OYO Rooms, in that order.
The Private Equity round is relying on primary and secondary transactions to raise the target amount. New investors such as General Atlantic are participating in the round, and VCs like Sequoia Capital are expected to gain partial or even full exits.
The overwhelming interest of VCs and investors in the startup has lead to this unexpected jump in valuation post closing of the round.
Earlier, it was anticipated that the company will raise $300 million and reach a $2.4 billion valuation with the close.
Last month, the online tutoring startup made the first close this round with General Atlantic India pouring in $100 million and the valuation at that point had already crossed $2 billion mark.
Byju’s entered the unicorn club this year in March.
The startup providing online education to K-12 segment plus tutoring aspirants for competitive exams has seen rapid growth and expansion. The expected exponential increase in valuation from $1 billion to $3.5 billion within a span of 7 months is testimonial of the fact.
It also expected to become profitable by the end of FY18, and while the RoC filing is not yet available to be able to comment on that matter, the company did claim to have crossed Rs 100 crore monthly revenue mark this June and desires to clock Rs 1,400 crore in total.
Going further, the final close on the current private equity round and the company’s final valuation post that still remains to be seen, along with its RoC filings for FY18.
This development was first reported by Mint.