Byju’s acquires US-based reading platform in $500m deal

Edtech juggernaut Byju’s has announced its acquisition of digital reading firm Epic in a deal worth US$500 million.

Byju Raveendran, the founder and CEO of Byju’s / Photo credit: Byju’s

The deal would extend the India-based startup’s reach in the US, giving it access to the over 2 million teachers and 50 million children in Epic’s existing global user base, according to a statement.

Byju’s said it has “aggressive plans” for international expansion and deeper penetration into the US market, which includes its acquisition of Epic. The company also noted that the deal will help it reach its goal of becoming a core piece in the US’ learning culture.

In addition to the acquisition, Byju’s said it will invest US$1 billion in North America. This comes on the heels of the company’s announcement with Disney in the US last month, which reveals that the two firms are collaborating to bring Byju’s Learning app featuring Disney characters to the country.

Launched in 2014, Epic is a subscription-based reading and learning platform designed for kids 12 years old and under. Its services, which can be accessed on desktop and mobile devices, include over 40,000 fiction and non-fiction audiobooks, more than 500 learning videos, and a number of personalized quizzes.

“Our partnership with Epic will enable us to create engaging and interactive reading and learning experiences for children globally,” said Byju’s CEO and founder Byju Raveendran. “Together, we have the opportunity to create impactful experiences for children to become life-long learners.”

Meanwhile, Byju’s local rival upGrad recently announced it will be setting aside US$250 million for mergers and acquisitions over the next seven to nine months. It expects to announce two deals before the second week of September.