Edtech unicorn upGrad raises Rs 287.5 Cr debt from EvolutionX

Mumbai-based edtech unicorn upGrad has raised Rs 287.5 crore in debt from Singapore-headquartered EvolutionX Debt Capital.

The board of directors of upGrad recommended the passing of the special resolution to issue and allot 28,75,000 debentures (mix of NCDs and OCDs) of a face value of Rs 1,000 each aggregating to Rs 287.5 crore, according to the company’s latest filing with the Ministry of Corporate Affairs.

The proceeds from the issuance of the debentures will be utilised towards growth capital, funding operating expenses, and general corporate purposes, the filing revealed.

EvolutionX Debt Capital is a $500 million growth-stage debt financing platform created by DBS and Temasek. It offers non-dilutive financing to growth-stage technology companies across Asia, focusing on China, India, and Southeast Asia.

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The Temasek-backed edtech firm had completed an internal rights issue to raise Rs 300 crore from existing shareholders and founders in March 2023.

Founded in 2015 by Ronnie Screwvala, Mayank Kumar, and Phalgun Kompalli, upGrad operates across various educational sectors, encompassing test preparation, study abroad programmes, undergraduate degrees, and courses in collaboration with over 300 university partners.

In FY23, upGrad recorded a revenue of Rs 1,194 crore, up 96.4% from the previous financial year’s Rs 608 crore, while its losses widened 76% to Rs 1,141 crore as opposed to Rs 648 crore in the prior year.

Entrackr was the first to report the development.