At that time they discussed the possibility of working jointly and working together. In this article, I am going to talk about the acquisition deal between Aakash Educational Services Limited Institute and BYJU'S. The cash-and-stock deal was closed at almost $1 billion last week, making it one of the most expensive deals in India's . We have around 215 centres. Former upGrad CEO to lead BYJU'S international business: Sources Morning Buzz: Mohandas Pai and Rajnish Kumar to join Byju's advisory council, new SIP accounts hit record high in June and more, Sacred simplicity and the Tamizh way of life. Verify your mobile number with OTP and complete the registration. AESL believes that the Aakash brand is associated with quality coaching and a proven student selection track record in various Medical and Engineering Entrance Examinations, Scholarship exams & Olympiads. Byjus, the countrys largest online edtech start-up, has acquired a 33-year-old brick-and-mortar coaching centre Aakash Educational Services Ltd (AESL) for nearly $940 million in a cash and stock deal. What does Byju's acquisition of Aakash tell us? - Quora BYJUS also acquired White Hat Jr in 2020, a Mumbai-based programming start-up focused on empowering children with coding skills. How did the talks with Byjus start, and how long did it take to seal the deal? Exits Continue At BYJU'S: Now, Two Independent Directors Of Aakash Yes. The apps have been designed to adapt to the unique learning style of every student, as per the pace, size and style of learning. You have successfully registered for the webinar. The Aakash App is designed to cater to your unique learning needs while preparing for competitive exams like IIT JEE, & NEET. These are the times, even if you are a 30-year-old brand when you have to be honest and realize the direction the market is going. The Byjus team reached out to understand our work, etc. But in recent months, the company has been dogged by complaints as parents accused it of not fulfilling its promises - coercing them into buying courses they couldn't afford and then not providing the promised services. Look, edtech is in this peculiar situation where a lot of money from venture capitalists have flowed into very few firms; it is not evenly distributed. Aakash BYJU'S Neo We have migrated to a new commenting platform. Your father built it from scratch, and then you joined as a second-generation entrepreneur. We have various options to advertise with us including Events, Advertorials, Banners, Mailers, etc. Best Coaching Centers in Delhi for NEET & IIT-JEE - Aakash Institute You have said the nearly $1 billion deal is part-cash and part-equity. At present time Byjus has over 80 million students cumulatively learning from the app, 5.5 million annual paid subscriptions, and an annual renewal rate of 86 percent. 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Lawyers Amit Khansaheb and Vishruta Kaul, associated with the legal firm Shardul Amarchand Mangaldas & Co . They cannot be abusive or personal. It signifies that the market is changing, customers are changing. To have only online models for test preparations is very far right now for the ed-tech companies to achieve. When not chasing stories, he is most likely obsessing over Formula 1 (Read: Lewis Hamilton), historical events and people, or planning long weekend drives from Bengaluru. Byju's is getting ready to list Aakash, an old-world test prep brand it acquired in 2021 and which has emerged as the silver lining for the $22-billion valued edtech major, which has been. Aakash, the offline test preparation giant that Byju's acquired in 2021 for a staggering $1Bn, will prep up to go public next year. News BYJU'S vs Vedantu A lot of our readers have asked us to compare BYJU's and Vedantu; two very popular EdTech platforms. Though BYJUS had acquired several educational companies in the past, the acquisition deal of its with Aakash is the first offline acquisition that it has been into. Aakash Educational Services Limited (Aakash BYJU'S) is a leading educational institution in India that provides comprehensive test preparatory services to students preparing for medical and engineering entrance exams, school/board exams, NTSE, Olympiads and other foundation level exams. Second, the expansion will directly advantage Byjus market. It is estimated to have raised over USD 2 billion in funding to date. as we combine our expertise to create impactful experiences for students. The pandemic has brought the importance and urgency of the blended format of learning to the forefront. It has its presence in more than 200 coaching centers across the country. Aakash Educational Services will launch 106 new centres across the country in the next 5 months including reaching Tier-3 and Tier-4 cities and towns. Byjus presence there will help us significantly as they have a base and market understanding. By acquiring the Aakash the BYJUS makes its presence in the test prep segment the best choice for the students as it provides the blend of both the technology of the BYJUS and the expertise of the Aakash, so the students can learn from home as well as take guidance from the experts. Byjus, which is the most valued ed-tech startup in the country, is backed by marquee investors like Mary Meeker, Yuri Milner, Chan-Zuckerberg Initiative, Tencent, Sequoia Capital, Tiger Global and others. AESL (directly, or through its subsidiary Aakash Edutech Private Limited, or through its franchisees) provides curriculum-based coaching for K-12 students and test preparatory services for various competitive examinations such as, engineering examinations, medical examinations, Olympiads, National Talent Search Examination, etc. Byju's: The unravelling of India's most valued start-up - Yahoo News -, () . Byju's has set a timeline of September end for the completion of its 2022 audit and December end for its 2023 audit. [CDATA[ At present time Byjus has over 80 million students cumulatively learning from the app, 5.5 million annual paid subscriptions, and an annual renewal rate of 86 percent. With over 215 centres, Aakash provides preparatory services to students appearing for medical and engineering entrance exams, school/board exams, KVPY, NTSE, Olympiads, and other foundation level exams. Byju's pushes back payments for billion-dollar Aakash deal In May, lenders to the company filed a suit in a US court, accusing it of defaulting on payments and breaching terms of the loan agreement, including months-long delays in releasing financial statements. Our complementary strengths will enable us to build capabilities, create engaging and personalised learning programmes. The deal values AESL at close to $1 billion, Managing Director & Co-Promoter Aakash Chaudhry told But test prep is a bigger market. 140,000.00. But during that time, there was no discussion of acquiring. Byju's acquires test prep major Aakash for nearly $1 billion Which song made Jane Birkin an icon? Ed-tech companies became a survivor as they provide their services at a cheaper rate and the students can learn from anywhere and anytime. Manish Singh. Already a BS Premium subscriber?LOGIN NOW. Unified by a shared vision to create value for the student community and boost the learning ecosystem, this integration will help accelerate and scale Aakashs growth in the test prep industry. 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Manu Balachandran is a writer for Forbes India, based in Bengaluru. Byju's Byju's (stylised as BYJU'S) is an Indian multinational educational technology company, headquartered in Bangalore. EY was the exclusive financial advisor for Byjus on this transaction, and Phoenix Advisors for AESL. Over the years, Aakash has built and maintained the highest standards of teaching, result-oriented test preparation for some of the toughest entrance exams like JEE, NEET, NTSE etc. Bengaluru/ New Delhi, 5th April, 2021: BYJUS, worlds leading ed-tech company today announced its strategic partnership with Aakash Educational Services Limited (AESL), a leader in test prep services. Phone number: Send me the app. What went wrong at PharmEasy and can it find a cure? We have always believed omni-channel will be the winning model in test prep and tutoring, and we look forward to being a part of the partnership between the two foremost companies in Indian supplementary educationAakash and Byjus. You are now subscribed to our newsletters. These offerings by the offline major are categorized under three brands . For BYJUS, the next set of segments of interest, and possibly acquisitions, could come from other areas of test preparation such as civil services, government, and banking exams, as well as entrance exams in law and management. What started as a collaboration talk with Byju's ended up as a takeover deal worth $1 billion for Aakash Educational Services, in one of the most expensive deals in India's burgeoning . The Competition Commission of India (CCI) has today approved the proposed combination relating to ed-tech startup Byjus acquisition of a certain stake of Aakash Educational Services Limited (AESL) and thereafter merger of BYJUs and AESL under Section 31(1) of the Competition Act, 2002. The cash-and-stock deal was closed at almost $1 billion last week, making it one of the most expensive deals in Indias burgeoning ed-tech sector. He asked me if I was interested in learning something new, the 72-year-old tells Forbes India. Business Today has reached out to BYJU'S for a comment on the same. Our focus is to expand physical and their focus to expanding digitally. Brand Aakash will stay as it is. "There'll be another [like this] in two years," Dr Malpani says. The merger was done in order to take advantage of this cross-segment diversification. Byju's-Aakash deal done, JC Chaudhry is now busy building a world for We are one of the large partners, but not as large as some of the big VC investors. Analysts say investors are used to handling bull and bear runs and have short memories when it comes to these dips. Take the Aakash iACST online. He added that one of the reasons Byju's is at its current crossroads is the "detrimental" board structure of venture capitalist-funded companies. All Right Reserved. BYJUS and Aakashs team started talking in the month of June 2020 last year. What will happen to brand Aakash after the takeover? Previous reports from Moneycontrol indicated that Byju's was preparing for a $1 billion (8,264 crore) public listing for Aakash, projecting a valuation of the tutoring services branch between $3-4 billion (24,792 - 33,056 crore). Here is the list of the companies that are acquired by BYJUS:-, Lab-like simulations for Science students. Check out our Festive offers upto Rs.1000/- off website prices on subscriptions + Gift card worth Rs 500/- from Eatbetterco.com. Recorded Classes View the live sessions as many times as you like. Europe to get even hotter as 50C (122F) recorded in US and China, Putin vows response after 'terrorist' bridge attack, Millions under smoke advisory due to Canada fires. The future of learning is hybrid and this union will bring together the best of offline and online learning, The high-tech as well as tried and tested platform of BYJU combined with the skilled faculty of Aakash Institutes will prepare a model of hybrid learning where students would be able to learn through the online medium as well as will be able to seek offline guidance from its brick and mortar presence, as and when they required.