Educational technology leader BYJU's on Friday, March 24, denied rumours about a possible merger with Aakash Educational Services involving its competitor, Unacademy, run by Gaurav Munjal. This denial came in response to a Money Control report, citing sources, which claimed that Unacademy, backed by SoftBank, was in discussions for a potential merger with Aakash owned by BYJU's.
"We strongly deny that BYJU'S is considering a merger of Unacademy into Aakash Educational Services. As a parent company, BYJU'S is committed to investing in the growth of Aakash Educational Services, which is growing at more than 50 per cent year-on-year," a BYJU's spokesperson said in a statement as reported by IANS.
According to a spokesperson from Aakash Educational Services, there have been no talks with Unacademy or any other company regarding a merger with Aakash. "Aakash is a market leader in our segment with an impeccable track record of delivery and results and we are focused on our organic growth and delivery to the lakhs of students that have trusted us," the Aakash spokesperson added.
Unacademy refused to provide a statement on the matter. At the same time, BYJU's, which is led by Byju Raveendran, is reportedly close to securing $250 million in funding at a flat valuation of $22 billion, the same as the company's previous announcement. This comes as the company aims to repay a $1.2 billion term loan and achieve profitability by 2023. According to sources, the latest funding round is in its final stages of discussion and is expected to be completed within the next few weeks. When asked for comment, BYJU's declined to respond stating the IANS report.
