Facebook-backed online learning platform Unacademy has acquired ed-tech startup PrepLadder for $50 million. The Chandigarh-based startup primarily provides preparatory help with medical entrance exams.
The acquisition highlights how ed-tech startups are favourites of investors in current times. In the first six months of 2020, venture capital investors pumped in $795 million in the segment compared with $108 million in the year-ago period.
This move will strengthen Unacademy’s presence in medical entrance examination category such as NEET PG and FMGE. As a part of its inorganic growth strategy, Unacademy recently acquired Kreatryx and took over the custodianship of CodeChef.
Started in 2016, PrepLadder specialises in medical examinations and provides access to education services and preparation material for exams such as NEET PG, AIIMS PG, NEET SS, and FMGE. Founded by Deepanshu Goyal, Vitul Goyal, and Sahil Goyal, the company claims to have over 85,000 active subscribers.
Deepanshu Goyal, co-Founder, PrepLadder said, “We are extremely happy to be a part of the largest learning platform in India. Unacademy and PrepLadder are working towards the common goal of making quality education accessible to all. We believe that the synergies between both products will truly create a mark in the industry.”
In February, Unacademy raised $110 million from social networking giant Facebook and US private equity firm General Atlantic at a post-money valuation of $510 million.
In the last three months, Unacademy has recorded a 100% increase in its paid subscriber base given the emphasis on online learning. The average daily watch time across Unacademy platforms has also risen significantly, with monthly watch time minutes at an all-time high of over 1 billion.
Over 525,000 learners attempted various mock tests on the platform for competitive examinations such as UPSC, NEET-PG, and CAT among others during this period.
With schools shut because of the coronavirus pandemic, online learning platforms have stepped in to fill the gap – providing investors with robust prospects.
This article was first published on livemint.com.