HomeStartup NewsSchool edtech startup LEAD raises Rs 160 crore in fresh funding

School edtech startup LEAD raises Rs 160 crore in fresh funding

"With the path to profitability for LEAD’s base business of affordable private schools already established through existing capital, the new round of fundraising will help finance the company’s organic and inorganic growth ambitions," the school edtech startup LEAD said in a statement. 

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By CNBCTV18.com January 11, 2023, 8:39:40 PM IST (Published)

2 Min Read
School edtech startup LEAD raises Rs 160 crore in fresh funding
School edtech startup LEAD has raised Rs 160 crore in fresh funding from Stride Ventures, Alteria Capital as well as HDFC Bank, Standard Chartered Bank and ICIC Bank.


"With the path to profitability for LEAD’s base business of affordable private schools already established through existing capital, the new round of fundraising will help finance the company’s organic and inorganic growth ambitions," the company said in a statement.

Its CEO and co-founder Sumeet Mehta said that traditionally startups have had limited avenues for raising capital beyond equity. "However, with our strong unit economics and clear path to profitability, we have been able to attract non-dilutive, traditional capital from India’s biggest banks and largest venture debt funds, which is value accretive to our shareholders," he said.

The co-founder said the startup is poised for 2x growth and this latest funding round would help fast-track its mission of providing high quality, integrated school edtech solutions to more than 60,000 schools across the country by 2026.

Ankit Agarwal, a partner at Alteria Capital, said that in line with its core thesis of backing high-growth companies that drive deep innovation and impact, it is excited to be part of the debt round in LEAD School.

"LEAD’s journey of success as India’s largest school edtech company underscores the massive opportunity for technology-enabled disruption in school education in India. We are confident that our investment will further help LEAD achieve its growth objectives,” he said.

Meanwhile. Apoorva Sharma, a partner at Stride Ventures, said that LEAD's technology-enabled approach to make education interactive, measure student progress and standardise curriculum delivery has the potential to transform the education system.

"Last week, LEAD entered an agreement with Pearson, the world’s leading learning company, to acquire its local K-12 learning business in India. With this acquisition, LEAD will immediately expand its reach to over 9,000 schools and will further enhance its product portfolio to cater to the entire spectrum of 5 lakh+ private schools in India," the statement added.

Last January, the startup had raised $100 million at a valuation of $1.1 billion.

Also Read: Teaching and learning platform Toddle raises $17 million in Series A funding round
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