BYJU'S Seeks to Raise $800 Mn to $1 Bn by Selling Epic and Great Learning

Edtech giant BYJU'S is making strategic moves to bolster its financial position by putting two of its subsidiaries, Epic and Great Learning, up for sale. The company aims to raise between $800 million and $1 billion from the sale of these assets, sources report.

This decision follows closely on the heels of BYJU'S proposing a repayment plan to the lenders of its $1.2 billion Term Loan B. As the edtech industry faces evolving dynamics and market challenges, BYJU'S is strategically adjusting its portfolio to ensure financial stability and future growth.

BYJU'S acquired Epic, a US-based kids' learning platform, in May 2022, in a deal valued at $500 million. Now, the company is anticipating a significant return on investment by selling Epic, with expectations of fetching anywhere between $400 million and $500 million from the sale.

Similarly, BYJU'S is looking to divest Great Learning, a higher education and upskilling firm, for an estimated $500 million to $600 million. This move aligns with BYJU'S ongoing efforts to streamline its portfolio and optimize its resource allocation.

The sale of Epic and Great Learning represents BYJU'S commitment to financial prudence and capital management. The funds generated from these divestments are expected to enhance BYJU'S financial flexibility and potentially support its expansion plans or strategic initiatives in the dynamic edtech landscape.

As BYJU'S navigates the evolving education technology sector, the company remains focused on its core mission of transforming education through innovative digital solutions. The decision to sell subsidiaries underscores BYJU'S adaptability and strategic agility in responding to market dynamics, ensuring its continued leadership in the edtech space.

The move to divest Epic and Great Learning is poised to be a significant development in BYJU'S ongoing journey as a global education technology powerhouse. It demonstrates the company's commitment to maintaining a robust financial position and pursuing opportunities that align with its long-term vision for education transformation.

As BYJU'S progresses with its divestment plans, the edtech industry and investors will closely monitor the outcomes and implications of these strategic decisions on the company's future growth trajectory and market competitiveness.



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