New Delhi (IANS) BYJU'S will acquire Aakash Educational Services Limited (AESL) through a strategic merger. The deal size is pegged at close to $1 billion, according to a person familiar with the transaction.
This partnership brings together two of the largest and most-trusted education brands in India - combining Aakash's pedagogy expertise in the test-prep segment with BYJU'S content and tech capabilities. After the integration, BYJU'S will make further investments to accelerate Aakash's growth.
Amit Dixit, Co-Head of Asia Acquisitions and Head of India Private Equity at Blackstone, said: "We invested in AESL because it is one of the leading education brands in India with a professional management team, best-in-class corporate governance and a 33-year track-record of exceptional results. We have always believed omni-channel will be the winning model in test prep and tutoring, and we look forward to being a part of the partnership between the two foremost companies in Indian supplementary education - Aakash and BYJU'S. The combination of Aakash and BYJU'S is highly synergistic and we are excited to help build India's largest education company."
With over 215 centres, Aakash provides test preparatory services to students preparing for medical and engineering entrance exams, school/board exams, KVPY, NTSE, Olympiads, and other Foundation level exams.
Byju Raveendran, Founder and CEO, BYJU'S said, "Our complementary strengths will enable us to build capabilities, create engaging and personalised learning programs. The future of learning is hybrid and this union will bring together the best of offline and online learning, as we combine our expertise to create impactful experiences for students."
Byju's further added, "The pandemic has brought the importance of the blended format of learning to the forefront. As we unite our forces to bring together decades of expertise and experience, this partnership will further accelerate Aakash's growth and success."
Aakash Chaudhry, Managing Director, AESL said: "Together with BYJU'S, we will work towards building an omni-channel learning offering that will accelerate test-prep experience to the next level. While this partnership will enhance our operational verticals, Aakash will continue to operate as a separate entity with the same passion and commitment with which its Founder & Chairman J C Chaudhry incepted it. We are excited to partner with BYJU'S, and will strive to deliver long-term value to our students, employees, investors, and other stakeholders."
The addition of Aakash is a significant step towards strengthening BYJU'S product offering. It reiterates the company's focus on creating impactful learning products for students by adding more verticals, subjects, and languages to the same platform.