[Funding alert] BYJU'S raises Rs 908.9 Cr from DST Global
Edtech startup BYJU'S is raising about Rs 909 crore in funding from billionaire Yuri Milner-led DST Global, according to regulatory documents.
According to documents filed with the Corporate Affairs Ministry by BYJU'S, which is operated by Think and Learn Pvt Ltd, 20,622 shares will be offered to DSTG VII Investments-2-IN Ltd, 17,777 shares to DST Asia VII, and 4,267 shares to DSTG VI Investments-A-IN Ltd.
"...the company proposes to offer and issue 42,666 Series F compulsorily convertible cumulative preference shares (Series F CCCPS)...for a total consideration of Rs 908,96,55,520 to DST Asia VII, DSTG VI Investments-A-IN Ltd and DSTG VII Investments-2-IN Ltd..." it added.
The company will use funds to meet the working capital requirements and business expansion plans, the document said. Post-issue shareholding of DST will be 1.2 percent.
Emails sent to BYJU'S did not elicit a response.
In June, BYJU'S announced it had raised funds from global technology investment firm BOND but had not disclosed the amount raised. In February, the company raised about $200 million in funding from General Atlantic.
The edtech space has seen strong growth globally with the COVID-19 pandemic serving as an inflection point.
While a number of players have raised fresh funding from investors, consolidation is also being seen in the industry with deals like Unacademy acquiring PrepLadder for $50 million.
BÝJU'S had recently bought coding training platform WhiteHat Jr for $300 million. WhiteHat Jr. Founder Karan Bajaj will continue to lead and scale the business in India and the US.
This acquisition is expected to help BYJU'S with its plans to expand further into the US market. The unicorn is also looking to provide coding programs for kids, an area of expertise for WhiteHat Jr.
(Disclaimer: Additional background information has been added to this PTI copy for context)
(Edited by Teja Lele Desai)