Private equity firm General Atlantic and Tencent, the world’s fifth-largest internet company, have put in an additional Rs 75-80 crore in Think and Learn Pvt Ltd, the owner and operator of ed-tech platform Byju’s Learning.
General Atlantic, which made Byju’s its first bet in the broader Indian consumer internet ecosystem in December, has pumped in Rs 33.28 crore for over 4,000 compulsorily convertible cumulative preference shares, or Rs 82,882.50 per share, according to filings submitted by the company and accessed by business signals provider paper.vc.
The latest cash infusion in Byju’s comes about three months after the firm closed a $540 million equity financing led by Naspers Ventures, the investment arm of the South African internet and entertainment conglomerate, and Canadian Pension Plan Investment Board in December last year, which valued it at over $3.6 billion. That round of investment made the company the fourth most valuable start-up in India, after digital payments firm Paytm (One97 Communications Pvt. Ltd), cab-hailing service Ola, and budget hotel chain Oyo Rooms.
General Atlantic, which managed assets of about $28 billion as of June last year, had invested Rs 199.1 crore in Byju’s in December, shelling out Rs 72,570 per share at the time. The PE firm paid an additional Rs 10,312.50 per share this time round. Byju’s valuation is said to be a shade over $4 billion. According to estimates, the firm spent Rs 367.8 crore in acquiring shares from Byju’s cofounder Riju Raveendran and Sequoia Capital in a secondary transaction.
Naspers Ventures and CPP Investment Board paid Rs 77,600 and Rs 77,870 per share, respectively.
“General Atlantic is known for an interesting and systematic approach to private market investing in India, especially in the financial services space, where their investments betray a very concerted approach towards investing in, what I would term as, watering holes,” said Vivek Durai, cofounder of paper.vc.
Tencent, which had first invested in Byju’s in July 2017, having put in $40 million into the decade-old company valuing it at $775 million at the time, has once again invested through its entity Proxima Beta and has been issued over 5,000 shares. While the filings do not indicate how much Proxima paid per share, it is expected to be the same price paid by General Atlantic, indicating that it has put in about Rs 43 crore.
Source: The Economic Times, MINT