Akash expects to close FY23 with Rs 3,000 Cr revenue
Aakash-BYJU’S partnership triples revenue and profits in two years
Aakash Educational Services Limited (AESL) expects to triple both revenue and profits since its acquisition by , and looks at closing FY23 with Rs 3,000 crore in revenue.
The company has opened 115 new centers in the last two years. AESL has over 5,700 teachers and 400,000+ students currently enrolled at 320 centers.
"Thanks to our partnership with BYJU’S, AESL has been able to add a lot of digital muscle, enabling us to go deeper into the Indian market." Abhishek Maheshwari, CEO of AESL, said in a release.
The company is now looking to tap into the demand for test prep in India and aims to expand across India’s Tier II, III, and IV cities.
"Since the acquisition, AESL has registered a 3X growth in revenue and we look forward to integrating our synergies further to reimagine education for students everywhere," BYJU'S Co-founder Divya Gokulnath said. "Our goal is to empower every student in India with quality education. With our expansion plans and student-centric approach, we are confident that AESL will continue to broaden its horizons and lead the way in the education sector."
BYJU'S is making plans to raise up to $250 million by having its test prep service provider AESL issue convertible notes. These notes will later be converted into equity, with a discount of 20% to the listing price of the unit's intended initial public offering (IPO).
YourStory has reached out to BYJU'S for a comment on the development. This story will be updated to reflect the company's response.
It was recently reported that Unacademy and BYJU'S-owned Aakash are reportedly considering a possible merger. However, BYJU'S and Aakash have denied any such development.
BYJU'S is also reportedly looking to close a $250 million funding deal in April at a valuation of $22 billion.