Byju Raveendran afp

Russian investment firm, DST Global, led by billionaire Yuri Milner is planning to invest $400 Million in the giant online education firm Byju’s which is currently the second-largest valued startup in India after Alibaba-backed digital payments firm Paytm.

Byju’s was founded in the year 2011 by a former teacher Byju Raveendran. Byju’s also acquired Osmo, a US-based educational games maker in January 2019. With this investment of $400 Million by DST Global, Byju’s will be joining Paytm and OYO in the decacorn club.

DST Global as an investment firm is also known for previously investing in Indian companies like Swiggy, Udaan, Ola and Flipkart which are all in the unicorn club. At the same time, major high-profile companies like Twitter, Spotify, Airbnb, Alibaba and Facebook also happen to be in the list of companies in which DST Global has invested.

In this situation of Covid-19 Pandemic, the online education sector has received a major boost as the lockdown has made people explore the world of gaining knowledge and education online. This fundraising happens in a peak time where there is heavy competition in the online education sector in India. The Indian government recently announced a New Education Policy (NEP 2020) which focuses on supporting the digital education sector and making remote learning possible at every corner of the country.

As per the Ministry of Corporate Affairs fillings, Byju’s recently recorded an approval to raise $23 Million in Series F from Bond Capital Asia Holdings Limited. Byju’s plans to utilize the same in meeting the working capital requirements and business expansion plans.

This $400 Million investment in Byju’s marks a comeback of the investment firm DST Global in India. DST Global is one of the world’s leading late stage technology investors which started investing in Indian companies during 2014-15. Apparently Byju’s are raising this round of investment as they are planning a large acquisition target in the United States.


Comment your thoughts

Your email address will not be published. Required fields are marked *