Byju’s to acquire Aakash education for a whopping 1 billion dollars
Could potentially be one of the biggest ed tech acquisition globally.
Let me run you through some numbers,
Akash has a wide offline and online presence and clocked a revenue of 1200Cr last year
Then, it was valued at 500M
And then pandemic happened and most of us know about the surge in online education,
Based on the speculated acquisition amount, its fair to assume, Akash must have almost doubled their revenue.
Now lets come to Byju’s, valued at 12B USD
And last fiscal year, Byju clocked a revenue of 2800 odd crores and probably will clock a billion dollars in revenue this year ( pandemic? )
Now why such a disperancy in valuation when revenue was only double?
Firstly, offline vs internet business
But mainly, its a game of users 😅
Byju has 70M users and about 4M paid subscribers while Akash has 500K paid customers
Now you see?
Its a big win for Byju’s
Acquire and not only get offline distribution to about 200 centers
But also adds almost half a billion in revenue and bunch of high value customers 😅
May be something that will help support the 12B valuation?
First the 300M acquisition of WhiteHatJr and now this.
Exciting time to live in.
This article is written by Vaibhav Sisinty