Indian multinational educational technology company Byju’s announced the acquisition of an American kids subscription-based reading and learning platform called Epic.
The deal closed for a staggering price of $500 million. Epic is a digital reading platform that has over 20 million users.
Byju’s, India’s most valued startup has massive plans to enter foreign markets. The company is specially focusing on North America.
The company has been making its foray into the American market through series of acquisitions. Before acquiring Epic, they bought Osmo, an educational gaming corporation for a price of $120 million in 2019.
“In some of the new markets, we will be in a growth phase, and we will invest to build similar brand and sector awareness like we did in India,” co-founder Byju Raveendran said.
“With strong organic growth and acquisitions, we will start adding significant numbers in our total revenue and you will see us accelerating over the next many years even on a large base,” he added.
“With Byju’s Future School nicely scaling [abroad], we will have three businesses overseas that will have $100 million revenue.”
Byju’s has plans to invest over a billion dollars in the United States in the coming years to speed up its growth in the overseas market.
The company is expected to gain revenue worth at least $300 million from the United States market solely before the end of 2022.
“Three to four years out, we would see about a third of the revenue coming from international markets,” Anita Kishore, the head of strategy at BYJU’s said.