Kids-focused edtech startup Udayy is in an advanced stage to raise $2.5-3 million in a seed round, according to two sources aware of the development.
“Udayy has been in talks with Falcon Edge’s Alpha Wave Incubation or AWI for the past two months. The contours of the deal has been finalised and if nothing goes wrong, the company will announce the round in the coming weeks,” said one of the sources on the condition of anonymity.
Udayy is a year old digital learning platform for kids between grade 1 to 5. Co-founded by Mahak Garg, Saumya Yadav and Karan Varshney, it enables kids to practise and develop their mathematical and analytical thinking.
Besides Maths, Udayy focuses on English and higher-order thinking skills.
“The term sheet has been signed and Udayy will be valued at around $8-10 million after the transaction,” said the second source. The person also requested anonymity as the talks are private.
Queries sent to Udayy and Falcon Edge on Friday did not elicit any response. We’ll update the post when we hear from them.
Since the beginning of 2020, Falcon Edge has been on an investment spree in edtech startups. The New York-based alternative asset manager has invested in Classplus and it was in talks with Cuemath and Camp K12 to lead a $40 million and $15 million round respectively.
Earlier this year, Falcon Edge Capital raised $300 million for its India-focused venture capital fund Alpha Wave Incubation (AWI). The fund is expected to make 30 deals by May 2021. Ola, Daily Hunt, Quikr, Aye, KhataBook and DealShare are some notable bets of Falcon Edge.
This year has turned out to be very successful for edtech companies. While Byju’s had scooped up over $1 billion in 2020, Unacademy’s valuation soared over $2 billion. Vedantu, ClassPlus, Uable, Toppr among several other companies also cornered significant amounts from venture capitals.