Education technology startup Toppr has raised Rs 350 crore in a fresh round of financing led by Gulf-based investment firm Foundation Holdings.
This is the latest funding in a space that has seen investors pour in hundreds of millions of dollars over the last seven months.
Mumbai-based Toppr will use the proceeds from the Series D round to ramp up its adaptive AI learning product, and launch new platforms for coding and schools, the company said.
Additionally, the capital will also be utilised to develop the AI-based Toppr School Operating System, a platform that integrates in-school and after-school learning to create a standardised and personalised experience, according to a statement.
Toppr, which was founded in 2013 by IIT Bombay alumni Zishaan Hayath and Hemanth Goteti, has now raised an estimated Rs 700 crore, across rounds, till date. CLSA acted as the financial advisor for the latest transaction.
The latest round of funding has also seen participation from education-focused Kaizen Private Equity, an existing investor in Toppr, along with other “long-time partners”, the company said in the statement. Toppr, which claims to have about 13 million learners on its platform, also counts the likes of stage and sector-agnostic investment firm SAIF Partners, Helion Ventures and Eight Roads Ventures among its list of institutional backers.
“With this investment, we now have the capability and reach to truly revolutionise the K-12 education experience and ensure that no learner is left behind. We are also excited about the launch of the School OS and believe this will be a ground-breaking initiative empowering teachers and schools across the industry,” Hayath said.
The investment in Toppr is the latest in the broader Indian ed-tech sector, which has seen millions pumped into it by global investors since January this year. The sector is one of the rare ones to have grown manifold in India amid the ongoing Covid-19 pandemic, which led to a nationwide lockdown with education institutions across the country shutting down, forcing students to turn to the web-based and mobile app platforms.
Over the last seven months, Byju’s Learning, Unacademy, Vedantu and Lido learning have raised, or are in the process of raising, substantial amounts of capital from the likes of General Atlantic, Facebook, Tiger Global, GGV Capital and Coatue Management, among others.
“UNESCO states that 1.1 billion students had their schools partially or fully closed by April 2020 due to Covid-19. Education institutions were often scrambling to offer quality e-learning tools. We believe that omnichannel, blended learning is the future and that we are set to sail into the golden age of education and education technology,” Abhishek Sharma, chief executive of Foundation Holdings, said.
The Dubai-based strategic investment firm primarily focuses on placing bets in the healthcare, education and consumer sectors, across India and the Gulf region. Last year, it had announced that it will be investing $100 million in a joint venture with Ryan International Group over the next five years.