Byju's had raised $150 million in funding, led by Qatar Investment Authority (QIA), in July last year at an expected valuation of around $5.5 billion.
Byju’s has raised a fresh $200 million from its existing backer General Atlantic as part of its ongoing financing round, which gave the edtech firm a valuation of nearly $8.2 billion, sources said. The latest investment takes the company’s total fund tally to nearly $1.39 billion.
Byju’s kicked off the funding round with a $200-million investment from new investor Tiger Global Management last month. The fund will be utilised for product development and business expansion, the Bengaluru-based company said.
Byju’s had raised $150 million in funding, led by Qatar Investment Authority (QIA), in July last year at an expected valuation of around $5.5 billion. In December 2018, the company mopped up a whopping $540 million, led by South Africa-based Naspers and Canada Pension Plan Investment Board (CPPIB).
The company did not comment on the amount of fund raised. However, founder and CEO Byju Raveendran, in a statement, said: “General Atlantic has been one of our strongest partners and this additional investment shows their confidence in our vision, growth and future. Today, over 65% of our students are from outside the top 10 cities. This is a validation of how technology can make high-quality learning content more accessible to students, irrespective of their geographies.”
Byju’s reduced its total losses by 76.25% year-on-year to Rs8.82 crore on a consolidated basis in the year to March 2019. Its revenue from operations increased to Rs1,305.92 crore in FY19 from Rs471.18 crore in FY18. The company, however, claimed to have posted a net profit of Rs20 crore in FY19 on a standalone basis. It aims to double its revenue to Rs3,000 crore in the current financial year.
Byju’s, which launched the learning app in 2015, claims to have garnered 42 million registered users and 3 million paid subscribers from both rural and urban areas. The average number of minutes a student spends on the app has increased from 64 minutes to 71 minutes per day over the last one year, and the annual renewal rates are about 85%, the company said.
The company is working on launch programmes in vernacular languages to make it accessible in the deeper parts of India. It will also launch online tutoring programmes in the coming months. “Outside India, US is a large market for the company. We have plans to launch a wide range of products in the US. The US is the first step since English product is what works in India as well as in the US,” chief strategy officer Anita Kishore told FE in an interview last year.
Byju’s counts Naspers, Tencent, Verlinvest and Sequoia Capital as other investors.