Indian test prep provider Adda247 raises $35 million in a Series B funding round led by WestBridge Capital
2022-10-09 19:13:43

Adda247, a Gurugram-based test prep provider, announced recently that it has raised $35 million in a Series B round of financing led by WestBridge Capital. Along with previous investors Info Edge, Asha Edu Tech, and JM Financial, Google also participated. 

According to regulatory filings with the Registrar of Companies (RoC), the board of Adda247 has approved a special resolution to issue 52,476 Series B compulsory convertible preference shares (CCPS) at a price of Rs 53,236.8 per share in order to raise Rs 279.4 crore, or $35 million. Fintrackr believes that the company is worth approximately Rs 1,400 crore ($175 million) (post-allotment).

Founded in 2010, Adda247 has become India’s largest vernacular test prep platform catering to more than 50 million students from second-tier and third-tier cities across the country. These tests include those for the railways, banking, SSC, and public sector employment. Additionally, the organisation is working to cover the K–12, JEE, NEET, and GATE markets.

The company launched its online platform and the first paid e-product in 2016. And it started 6 YouTube channels & community websites for increased user engagement and launched its second paid e-product in 2017. Backed by marquee investors like Westbridge and Infoedge, Adda247 is on a mission to take quality education to masses by providing online courses for all major exams in more than 10 regional languages in India.

Adda247 claims that it has more than 20 million active users per month and more than 30 million subscribers to YouTube, there are more than 10,000 live classes each month on the platform.

Although Adda247 has not yet submitted its financial data for FY22, according to its annual financial records filed with the RoC, its scale decreased 11.3% from Rs 40.25 crore in FY20 to Rs 35.7 crore in FY21. From Rs 7.96 crore in FY20 to Rs 15.2 crore in FY21, its losses grew dramatically by 91%.

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