upGrad Secures Rs 360-Crore Internal Funding Round

upGrad Secures Rs 360 Crore in Internal Funding Round Ahead of Unacademy Acquisition

Ronnie Screwvala-led upGrad has closed an internal funding round of Rs 360 crore, sources told Moneycontrol, as the company prepares to close its proposed acquisition of Unacademy and expand investments across test preparation, study abroad, enterprise skilling, and artificial intelligence.

The funding round saw Ronnie Screwvala, founder and chairperson, contribute Rs 300 crore. Existing investors, including Temasek, IFC, and 360 One, made prorata investments. Temasek invested Rs 45 crore, while IFC and 360 One together contributed Rs 16 crore.

The fundraise comes at a time when upGrad is positioning itself as a broader integrated learning and workforce development platform spanning formal education, certification courses, study abroad, placements, enterprise training, and global mobility.

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According to sources, upGrad is expected to receive nearly Rs 900 crore in cash once its proposed acquisition of Unacademy closes, taking the company's total capital pool to around Rs 1,260 crore.

The funds will be used to deepen the company's presence across online and offline learning formats in India and overseas markets, while also stepping up investments in AI-led learning products and workforce development initiatives.

The proposed acquisition of Unacademy, which was first reported by Moneycontrol in November, is expected to strengthen upGrad's presence in the online test-preparation segment, including categories such as UPSC, JEE, NEET, and GATE.

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In its filing with the Competition Commission of India (CCI), upGrad said the acquisition would help it enter the online test-preparation segment, where it currently does not have a presence.

Talks between the two companies had been on and off for several months, with discussions briefly stalling early this year over valuation before negotiations resumed and the companies moved toward signing a term sheet.

The acquisition push comes amid continued consolidation in India's edtech sector as companies recalibrate business models following the sharp post-pandemic correction in funding and consumer demand.