More investments for Byju’s? Abu Dhabi’s 10X AD, Apollo conduct talks

Posted on by

Abu Dhabi-based 10X AD and Byju’s CEO, Byju Raveendran, are currently in talks about making investments in parent company Think and Learn Pvt Ltd, or its subsidiary Aakash Education Services (AES), The Economic Times (ET) It has been reported.

The talks come as the education technology company looks to raise at least $400 million to $600 million from investors, the paper quoted people familiar with the development.

10X AD specializes in structured investments in end-stage technology-based companies. There is little clarity about how this investment will be arranged.

The report said 10X AD may either lead a consortium of investors and high net worth individuals in Abu Dhabi or it may go it alone and make investments in the range of $150m to $200m.

The Bengaluru-based education technology company is struggling to make its business profitable. I have been under scrutiny for over 18 months on issues such as corporate governance, gaps in audits, business practices, poor financial results, and widespread layoffs.

Byju has also reached out to Apollo Global Management, an American asset management and private equity firm seeking $200-250 million in structured financing for Aakash, ET mention the report.

Along with 10x AD and Apollo Global, Disrupt AD, the venture capital arm of Abu Dhabi-based ADQ, may double its previous commitment, the people cited in the report said. ET a report. Disrupt AD investment in Byju’s business in 2021 for the first time.

Disrupt AD has participated in previous funding rounds and raised $350 million, valuing the edtech company at $16.5 billion, making it the most valuable edtech company in the world at the time of the fundraiser.

Three-decade-old Aakash, which was acquired by Byju’s for about $950 million in 2021, runs brick-and-mortar centers to help teens prepare for competitive exams that line them up for admission to coveted schools such as the Indian Institute of Technology and others. Engineering or medical colleges.

Unlike Byju, Aakash has done quite well with her business. According to experts, Aakash has grown its business at a compound annual growth rate of 40-50 percent.