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Vedantu takes majority stake in test prep platform Deeksha for $40 million

With this strategic investment, Deeksha will bring in close to 13,000 of its students to Vedantu's platform

Vedantu takes majority stake in test prep platform Deeksha for $40 million

Outlook Start-Up Desk

POSTED ON October 13, 2022 4:32 PM

Edtech unicorn Vedantu has bought a majority stake in Ace Creative Learning, which runs the Deeksha test preparation platform in Karnataka for the board and competitive exam coaching for students of grades 11th and 12th. With a majority stake in the strategic investment, this partnership has been closed at a deal size of $40 million. 

Since 1998, Deeksha has created over 65,000 success stories through its 39 centers, across three states. This partnership seeks to leverage Vedantu's technology and integrate it into offline centers to develop a scalable hybrid model which provides access to quality and affordable education in remote tier 3 and tier 4 towns.

This initiative will further support Deeksha's learning model that specialises in competitive exam prep in sync with board exam prep through collaboration with schools and colleges. Leveraging Vedantu's online learning innovation and Deeksha's massive offline footprint, both partners envision digitising classrooms in tier 3 and tier 4 cities where quality education is not accessible and bring forth immersive learning experiences to students. 

Vamsi Krishna, chief executive officer (CEO) and co-founder of Vedantu said, "With this acquisition, our mission is to empower and scale Deeksha's current learning model by deploying our disruptive in-house hybrid technology to reach the masses in remote areas and create impact at scale. This culmination of online and offline capabilities will help us expand our hybrid learning initiatives. We endeavour to change India's learning curve through definitive outcomes at the back of our strong passion for delivering quality learning."

Dr Sridhar, co-founder of Deeksha, said, "Through this partnership, we will leverage Vedantu's Live class platform for our students and provide a hybrid solution that maximises learning outcomes through personalised learning algorithms. Vedantu's hybrid learning model will also enable us to provide the same 'Deeksha Experience' to millions of students in smaller towns and cities at an affordable cost."

With this strategic investment, Deeksha will bring in nearly 13,000 of its students to Vedantu's platform. In addition, Deeksha will leverage Vedantu's LIVE Classes, educational technology, and pedagogical content.

Over 1 million students attend Live classes monthly on the Vedantu platform. At the same time, more than 35 million users every month from over 10,000 cities across 50 countries access free content, tests, doubts, videos on Vedantu's platform, and its YouTube channels.

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