Edtech major upGrad has taken a decisive step toward consolidation in India’s online education sector by signing a term sheet to acquire rival Unacademy in a 100 per cent share-swap transaction. The deal is aimed to merge operations while keeping Unacademy’s founder Gaurav Munjal at the helm.
Announcing the development on X, upGrad chairman Ronnie Screwvala said the agreement includes a break fee in case the deal does not close.
“We at upGrad have signed a term sheet to acquire Unacademy in an all-stock deal, with Founder and CEO Gaurav Munjal staying on to build Unacademy and focus on what it does best, creating online education products that learners love. We have also agreed to a break fee were we not close,” Screwvala said.
“They disrupted the sector once, and now with AI they plan to do it again. We are already seeing Airlearn gain global traction. If this closes. upGrad’s integrated model with an expanded focus from K12 to forever learning will be on a strong trajectory,” he added.
Unacademy founder Gaurav Munjal also confirmed he would continue as CEO and praised upGrad’s journey.
He said both companies share the belief that “the whole is bigger than the sum of parts” and that their combined efforts would benefit students, learners, and working professionals while creating strong educational products across all stages of learning.
“Unacademy and upGrad have signed a term sheet for upGrad to acquire Unacademy in a 100% share swap deal. I will be staying back as Co-Founder and CEO Unacademy – with the Goal to build Great Online Products for Learners in India and Globally,” Munjal posted on X.
“I have long admired what @RonnieScrewvala and the upGrad team have built. They have quietly but relentlessly established themselves in the upskilling, lifelong learning and higher education space. If & when we do come together, we share upGrad’s belief that ‘The Whole is bigger than the Sum of Parts’ and altogether we will impact students, learners and working professionals & build great Products from K12 to Forever Learning,” he added.
Valuation details will remain confidential until the deal is formally closed and publicly filed.
