UpGrad Acquires Unacademy For Over $200 Million As Valuation Drops From Unicorn Peak

UpGrad has completed its acquisition of Unacademy in an all-stock deal valued at slightly above $200 million, marking a significant decline from the company's unicorn valuation achieved six years earlier. CEO Gaurav Munjal acknowledged the gap between the earlier peak valuation and the acquisition price, stating the company had raised funds during a high market period but exited at a considerably lower valuation.

Munjal emphasized that Unacademy entered the deal from a position of financial strength rather than distress. The company reported around ₹400 crore in revenue with most business segments profitable or nearing profitability, and held approximately ₹900 crore in cash reserves. The merger followed discussions with UpGrad founder Ronnie Screwvala, with both parties believing the combination would create greater opportunities in education.

Munjal highlighted Unacademy's broader impact on online learning in India, including educators whose YouTube content exceeded 10 billion views and Airlearn, the language-learning platform that became a top-three global download within two years. The acquisition reflects the broader correction in India's edtech sector following years of aggressive fundraising and elevated valuations.