Leverage Edu bags $40M in Series C funding from ETS, others

Noida-based study abroad platform Leverage Edu has secured $40 million in a Series C funding round led by Educational Testing Service (ETS), a Princeton-based language testing conglomerate, and existing investors, sources told YourStory.

With this funding round, the startup's valuation has reached approximately $150 million—a growth of 25% from its Series B round last year. 

In March 2022, the edtech startup raised $22 million, at about $120 million valuation, from a consortium of funds, family offices, and individual angels.

The company is backed by investors such as Blume Ventures, Kaizenvest PE, DSP Mutual Fund, Tomorrow Capital, DSG Consumer Partners, and Trifecta Capital.

YourStory has reached out to Leverage Edu and ETS for comments. 

The development comes at a time when several edtech startups, including the unicorns, are struggling to cope with mounting losses, leading to a slowdown of expansion plans, and are seeking to reduce their expenses amid a funding winter.

According to private market data company Tracxn, edtech funding has seen a significant decline, with only $1.33 billion raised between April 2022 and March 2023, compared to $6.22 billion raised in the same period the previous year.

Founded in April 2017 by Akshay Chaturvedi, Leverage Edu assists students from emerging countries, including India, Nigeria, and Nepal, in accessing higher education opportunities abroad.

The platform provides a range of services, including counselling, application support, college admissions assistance, education loans, international money transfer, and student accommodation. It claims to have a monthly enrollment of over 6,000 students.

For FY23, the edtech company reported revenue of approximately Rs 100 crore, sources said.

Meanwhile, Leverage Edu's financial arm, Fly Finance, which assists students with their education finance requirements, has facilitated loans totalling around Rs 280 crore, while its forex business clocked a transaction processed value of Rs 135 crore.

Tracxn ranks Leverage Edu as a top competitor among 191 rivals in the industry, including Leap Scholar, which raised $75 million in a Series D funding round in June last year.