upGrad to acquire Unacademy, Gaurav Munjal to remain CEO

Edtech major upGrad has announced the acquisition of rival Unacademy in a 100 per cent share-swap transaction. Following the deal, Gaurav Munjal will remain the CEO of Unacademy.

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 the move.

"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.

The Valuation of the deal is not yet known.