Indian edtech giant Bijus on Thursday said the company and any of its partners would not be involved in exploring an acquisition or merger with rival Unacademy, denying media reports as weakening global market conditions prompted several consolidation plays in the industry.
Indian news outlet Moneycontrol earlier reported that Baiju’s physical tutoring unit Aakash is in talks to merge with Unacademy. “We strongly deny that Baiju Unacademy is planning to merge into Aakash Education Services. As a parent company, BYJU’S is committed to investing in the growth of Aakash Education Services, which is growing at over 50% annually,” a BIJU spokesperson said in a statement.
We have not had any discussions with Unacademy or any other player to integrate with Academy Education Services. Akash is a market leader with an impeccable track record of delivery and results in our segment and we are focused on our organic growth and delivering to the many students who trust us,” said an Akash spokesperson.
Valued at $3.44 billion, Softbank-backed Unacademy is one of the largest edtech startups in India. The Bengaluru-headquartered start-up has reduced costs significantly.
Unacademy co-founder and CEO Gaurav Munjal told employees last year, “We always raise more money than needed to continue to try and grow our platform without worrying about when our money will run out. But now we must change our ways. […] Winter is here.”
Baiju, India’s most valuable startup, is instead in advanced discussions with bankers, including Citi and Goldman Sachs, to proceed with Akash’s IPO, according to sources familiar with the matter and briefings by the banks and seen by TechCrush.
Baiju has received approval from the board of directors to proceed with the IPO of Akash, which raised nearly $1 billion last year, and is preparing to submit the paperwork, the source said, requesting anonymity because the matter is private. .
