Reliance Industries to invest in edtech startup Lido Learning
Lido Learning has been in the news for firing 1,200 employees and shutting down operations just months after raising $10 million from Ronnie Screwvala among others.
Edtech startup is reportedly getting another lease of life with assessing a deal to invest in the company, according to a report in The Morning Context. While the deal size is not known, it has been reported that it could go through as soon as this week.
“Definitive documents haven’t been signed yet, but the two companies are in advanced talks,” a source told The Morning Context. “In fact, there is a possibility of even an acquisition.”
“We’re in the final stages of closing a round,” confirmed Sahil Sheth, Founder and CEO, Lido Learning, while refusing to name the investor(s) involved.
Lido Learning had raised $10 million led by Ronnie Screwvala's Unilazer Ventures in September 2021. In January this year, in an abrupt video townhall, Sheth asked over 1,200 employees to hand in their resignations immediately in one of the largest mass layoffs seen in the Indian startup ecosystem. According to reports last week, many of these employees are yet to be paid their salary for the last month of their employment and were struggling to find new jobs.
Ever since the townhall, Sheth has been looking to either find new investors or an acquisition offer. He said that he is trying to sell company assets in a bid to pay off the employee salaries.
Founded in 2019 by ex- employee Sahil Sheth, Lido has raised $23 million over the course of its existence.
Reliance Industries has been on a funding and acquisition spree, with money infused into organisations such as , , , and more in recent months.
Edited by Megha Reddy