upGrad acquires KnowledgeHut to ramp up overseas operations
Higher education and upskilling platform upGrad has acquired globally diversified edtech startup KnowledgeHut for an undisclosed sum. Post the acquisition, the Delaware-based startup will operate as a wholly-owned subsidiary of upGrad.
The merger is expected to help upGrad expand its presence in international markets in North America, Middle East, and South-East Asia, where Knowledge Hut has users.
This deal also comes shortly after upGrad announced that it has earmarked $250 million for inorganic growth in the next seven to nine months.
Talking of the deal, upGrad Founder and Chairman Ronnie Screwvala said,
“With KnowledgeHut on board, our focus on being an integrated 'LifeLongLearning' partner for powering career success for the global one billion workforce just got stronger. KnowledgeHut’s presence in 70+ countries will further upGrad's ambition of liberalising quality online education around the world.”
Founded in 2011, KnowledgeHut imparts outcome-based training programmes to its flagship immersive learning platform, PRISM. It focuses on organisations and helps them build the skills of tomorrow.
It is projected to cross revenues of $40 million (approximately Rs 300 crore) next year, 65 percent of which will be driven by North America, the Middle East, and Southeast Asia. Founder Subramanyam Reddy will be at the helm of the newly merged entity as its CEO.
In a statement, Subramanyam said,
"With our focus on short-term professional upskilling, KnowledgeHut is driving outcome-based immersive learning for global technologists and the wider professional community. Given our position in global markets, this synergy with upGrad will further strengthen and support that vision. The acquisition paves the way for upGrad to empower B2B customer segments across geographies including the United States and the Asia Pacific."
The acquisition will give upGrad access to KnowledgeHut's global learner pool of 250,000. It has serviced over 500 enterprises through its 200+ courses in the areas of Web Development, Machine Learning/AI and Data Science, Agile and Project Management, IT Service Management, Cyber Security, and Cloud Computing.
KnowledgeHut is upGrad's second acquisition this year. Earlier in May, it had acquired Impartus, a video-enabled learning solutions provider, for Rs 150 crore.
This comes when India's edtech sector is witnessing definite consolidation across segments.