Edtech unicorn upGrad’s cofounder and managing director Mayank Kumar has reportedly stepped down from his executive role to launch a new venture.
As per ET, citing sources close to the matter, from October, Kumar has reduced his participation in the company, as he is pitching investors to back his new startup focussed on placing skilled Indian labour abroad, especially in healthcare.
Additionally, the sources confirmed that upGrad is nearing a funding of $50-60 Mn from its existing investors at a valuation of $2.25 Bn.
Inc42 has reached out to Kumar and upGrad for comments on the development. The story will be updated based on the responses.
Furthermore, the report said that cofounder and chairman Ronnie Screwvala will be taking an active role in running upGrad, following the exit of Kumar.
However, the sources also said that there will be no changes in terms of ownership in the company following the exit.
The report also revealed that Screwvala’s takeover of managing the firm is synced with the edtech’s plans for an IPO in India, and his deeper engagement at the firm would impress the public market investors, based on sources.
Founded in 2015 by Kumar, Screwvala, Phalgun Kompalli and Ravijot Chugh, upGrad offers higher education courses and skilling programmes in collaboration with universities.
The company counts Temasek, Murdoch’s Lupa Systems, International Finance Corporation and IIFL among its marquee investors.
Earlier this year, the Mumbai-based edtech unicorn was in to take over US education firm Udacity and is seeking a fundraise of up to $100 Mn to finance the deal. Back then, it also reached out to a host of external investors to secure around $50-60 Mn, while the remaining investment is believed to come from existing investors.
Meanwhile, upGrad was looking to INR 287.5 Cr (about $34.4 Mn) debt from financing platform EvolutionX Debt Capital, in late June, to fuel its growth capital, fund operating expenses of the company, and for general corporate purposes.
The development of upGrad raising funds comes weeks after its peer edtech unicorn Physics Wallah $210 Mn (about INR 1,756.7 Cr) in its Series B funding round, led by Hornbill Capital, at a post-money valuation of $2.8 Bn.
The edtech startup’s net loss 76% to INR 1,141.5 Cr in the financial year 2022-23 (FY23) from INR 648.2 Cr in the previous fiscal year.
upGrad reported an operating revenue of INR 1,169.6 Cr in FY23, an increase of 97% from INR 595 Cr, a year ago.
The post appeared first on .
You may also like
Starlink Sets Its Sights on India: Musk's Vision for Better Connectivity
SCO meeting: Pakistan PM Shehbaz Sharif stays silent on Kashmir
'My son has come back': Murdered fan Renukaswamy's father as grandson born
Alastair Cook, Neetu David And AB De Villiers Inducted Into The ICC Hall Of Fame As Class Of 2024
'Stylish' ankle wellies are 'so comfortable and a godsend in wet weather' - and under £20
Diwali BONANZA! Haryana anganwadi workers salary hike announced ahead of festival
YSRCP leader Sajjala Ramakrishna Reddy summoned for questioning in TDP office attack case
Jagmeet Singh calls for sanctions against Indian diplomats and ban on RSS amid diplomatic row
Ex-Liverpool player names the team to stop Man City - but it's not the Reds
Cabinet approves 3 pc hike in DA of central govt employees
Liverpool's Conor Bradley 'had goosebumps' after setting new Northern Ireland record
Conor McGregor fight date shot down immediately by opponent he called out
UAE: Insurers lost up to more than Dh9 billion in heavy April rains this year
Pakistan calls for expansion of China's Belt and Road Initiative
Rohit Sharma has the responsibility of continuing the reign of 36 years, New Zealand will be tested again.
Remove burn marks from a cooker using 1 simple item - not oven cleaner or vinegar
British influencer dies after falling from 192 meters high Castilla-La Mancha bridge
Why is BCCI preparing to remove Harmanpreet Kaur? 5 big reasons came to light including Team India's defeat.
Every trophy Thomas Tuchel has won as ex-Chelsea boss takes charge of England
Trouble Sleeping? Say Goodbye to Insomnia with These 8 Simple Yet Effective Tips