Byju’s cleared all of its fees to Blackstone by paying the $234 million it owes the global investment giant to $1 billion acquisition of Aakasha source familiar with the matter told TechCrunch, addressing one of the criticisms aimed at the Indian edtech giant in recent months.
Start-up company with headquarters in Bengaluru, worth 22 billion dollars, which pushed back some payments for its roughly $1 billion acquisition of the physical education chain last year, citing regulatory reasons. Blackstone, also an investor in Byju’s, owned about 38% of Aakash prior to the acquisition.
Byju Raveendran, founder and CEO of the edtech startup of the same name, told TechCrunch earlier this month in an interview that Byju’s and Blackstone jointly decided to process the payments then. . The source said the Indian startup cleared its debt this week, requesting anonymity because the details are private.
Blackstone and Byju’s did not immediately respond to a request for comment Friday night.
The Indian startup, which provides online and offline learning services to students from kindergarten to those preparing for competitive college entrance exams, has spent more than $2.5 billion la in the last two years to get the scores of companies including US-based Epic Reading Platformencoder TynkerGreat Learning in India, GradeUp, Topper and GeoGebra of Austria.
Raveendran confirmed in the previous interview that they have also made an attempt to acquire the publicly listed edtech company 2U.
Earlier this month, the Indian startup discloses its financial accounts for the year ending March 2021, after an extended delay. Byju’s said it posted revenue of $305.6 million and extended its loss to $577.4 million in the fiscal year ending March 2021. Raveendran said about 40% of its fiscal 21-year revenue – due to the consumption period and credit sale period – deferred to the following Year.
The startup, which includes Blackrock, Tiger Global, Lightspeed Venture Partners and Sequoia India among its backers, said it generated total revenue of $1.258 billion (unaudited) in the financial year ending in March of this year. From April to July, the startup posted revenue of $570 million.
Byju wants to go public next year. In an earlier interview, Raveendran said Byju’s is closely monitoring macro market conditions and will file for an IPO within nine to 12 months. “I don’t think the market will change this year,” he said.