According to sources conscious of the developments, GIC, the sovereign wealth fund of Singapore, Renuka Ramnath-led home-grown non-public fairness agency Multiples Alternate Asset Management and marquee enterprise capital agency Sequoia Capital, are amongst these contemplating an funding in WhiteHat Jr, which is at present in the market to increase $50 million (about Rs 378 crore) in a contemporary financing round.
The talks are nonetheless at an early stage, in accordance to the sources.
When contacted, Sequoia Capital declined to remark, whereas GIC, Multiples PE and Karan Bajaj, chief govt of WhiteHat Jr, didn’t reply to emails until the time of going to press on Thursday.
If profitable, this would be the first funding round by the 18-month-old firm, which final raised capital in late 2019 from Silicon Valley-based investor Owl Ventures, Omidyar Network and Nexus Venture Partners. Till date, WhiteHat Jr has raised a shade over $11 million throughout its seed and Series A rounds.
Incidentally, San Francisco and Sand Hill Road-based Owl Ventures, an education-focused funding agency, can be a backer of Byju’s, India’s largest ed-tech firm, having invested in July final 12 months.
WhiteHat Jr, based in 2018 by Bajaj, the previous chief govt of Discovery Networks India, operates in the Ok-12 phase, instructing college students to code, and serving to them construct commercial-ready video games, animations and apps utilizing the basics of coding. The startup has developed a proprietary coding curriculum, targeted on product creation, and imparts classes by means of stay, interactive on-line lessons.
“There is certainly faster scaling up that’s taking place because of Covid-19. However, even post Covid-19, while there will be churn related to users, a lot of them will also stay on the platforms, which means there will be a higher ramp up of revenue, with very little cost of acquisition,” Ankur Pahwa, companion, EY, advised ET.
The developments come at a time when investors have been flocking to India’s ed-tech startups, with colleges and different academic establishments shutting down due to the Covid-19 pandemic and compelled to transition to internet and cellular platforms.
In February, General Atlantic and Facebook led a $110 million funding round in Unacademy, whereas Vedantu raised $24 million in funding from investors led by GGV Capital, together with current backers.
Several business watchers and executives stated ed-tech companies are trying at the moment state of affairs like how fin-tech companies had considered the federal government’s transfer to invalidate all giant denomination banknotes in November 2016.