In a strategic move to enhance its offerings, Google-backed edtech startup Adda247 has acquired PrepInsta, a specialized placement preparation platform. While the financial details of this transaction have not been disclosed, this acquisition signifies Adda247’s commitment to becoming an integrated provider of job-focused education and skill development, catering to both public and private sector job markets.
A Growing Portfolio of Acquisitions
This acquisition marks a significant milestone for Adda247, which has now completed four acquisitions. Previous purchases include StudyIQ, a platform for UPSC preparation acquired in 2021; Veeksha, which specializes in augmented reality and virtual reality learning modules, acquired in 2023; and Ekagrata Eduserv, a chartered accountancy test preparation firm acquired in July of this year.
Bimaljeet Singh Bhasin, CEO of Adda247’s skilling and higher education division, emphasized the startup’s focus on expanding beyond government job preparation. “We were predominantly focused on government jobs until about four months ago. With our foray into skilling and higher education, we aim to prepare individuals for both government and private sector roles,” he stated.
Identifying Key Sectors for Growth
As part of its strategic vision, Adda247 has pinpointed several key sectors for its skilling initiatives, including banking, financial services, insurance, and technology. This approach aligns with Bhasin’s vision of creating a fully integrated platform that not only prepares individuals for jobs but also collaborates with enterprises to develop talent across various sectors.
“Tech is the largest employer in terms of numbers. Given our aspiration to be a significant player in job-related programs, focusing on technology makes sense,” Bhasin added, indicating that PrepInsta fits into this larger strategy of expanding Adda247’s footprint in tech and digital skill development.
About Adda247 and Its Reach
Founded in 2016 by Anil Nagar and Saurabh Bansal, Adda247 has established itself as a leading platform for job preparation in India. The startup offers a wide array of services, including live online classes, on-demand video courses, mock tests, e-books, and textbooks tailored for specific exams. Notably, Adda247 provides courses in 12 regional languages, making education accessible to a broader audience.
With over 40 million monthly users and 2 million students enrolled in premium courses, Adda247 has experienced substantial growth. The company reported revenue of ₹243.39 crore for the fiscal year 2023-24, marking an impressive 88% increase from ₹129.65 crore in the previous fiscal year. Furthermore, its net loss narrowed significantly, reducing by 66% from ₹296 crore to ₹101 crore.
Implications of the Acquisition
The acquisition of PrepInsta aligns well with Adda247’s objective of serving a diverse user base that includes many engineering students and fresh graduates. Atulya Kaushik, co-founder of PrepInsta, noted that the integration would facilitate the provision of technology and digital skilling programs to Adda247’s more than 1.2 million paid users.
In 2022, Adda247 secured $35 million in a funding round led by WestBridge Capital, with participation from Google and existing investors such as Info Edge Ventures and Asha Impact. To date, the company has raised a total of $63 million, reinforcing its position in the competitive edtech landscape.
Conclusion: A Bold Step Forward
Adda247’s acquisition of PrepInsta is a testament to its ambition to become a comprehensive player in the education and skilling sectors. By expanding its portfolio and focusing on both public and private job preparation, Adda247 is well-positioned to meet the evolving needs of job seekers in India.
As the demand for skill-based education continues to rise, Adda247’s strategic initiatives highlight its commitment to driving innovation and improving employability in the country. This acquisition not only strengthens its market presence but also enhances the educational landscape by providing more resources for aspiring professionals.
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