Ed-tech firm Scaler has acquired online learning platform AppliedRoots for $50 million in a cash and stock deal.

The deal will enable it to strengthen its data science, Artificial Intelligence and Machine Learning capabilities, a senior company executive told ET. The acquisition, its third in the last 12 months, comes two months after it raised $55 million in Series B funding from investors led by Lightrock India. [1]

Figure 1. Ed-tech firm Scaler acquires online learning platform Applied Roots for $50 million

Figure 1 shows last year, Scaler acquired Coding Minutes and CodingElements, both online tutors. AppliedRoots is known for its flagship AppliedAICourse. AppliedRoots said it has served more than 40,000 in the last four years.

Announcing the acquisition, Abhimanyu Saxena, co-founder of Scaler &InterviewBit, said: "All the co-founders have extensive experience across software development, AI & ML and the edtech industry. We feel powerful synergy with their team, their ideas and goals.

Together we can accelerate the pace at which we can aid aspiring tech professionals to upskill themselves and create meaningful and rewarding careers." [2]

The upskilling edtech startup earlier last month had announced that it will be deploying the fresh capital towards expanding into foreign soil, launching new products, making strategic acquisitions and hiring aggressively.

Scaler competes against the likes of edtech unicorn upGrad, Udemy, Unacademy, BrightChamps, among others.

According to an Inc42 report, edtech startups raised $4.7 Bn in 165 deals to emerge as the third most-funded sector in 2021. The segment was only behind ecommerce, with $10.7 Bn and fintech with $8 Bn funding received in the year 2021. [3]

The platform has also joined hands with Microsoft, Google and Amazon for placements. In February, it had raised $55 million as a part of its Series B funding led by Lightrock India, at a valuation of $710 million. The firm also counts Tiger Global Management as its backer. [4]

References:

1. https://economictimes.indiatimes.com/tech/startups/ed-tech-firm-scaler-acquires-online-learning-platform-appliedroots-for-50-million/articleshow/89955175.cms
2. https://www.business-standard.com/article/companies/scaler-buys-edtech-firm-appliedroots-for-50mn-to-expand-online-courses-122030300548_1.html
3. https://inc42.com/buzz/scaler-acquires-appliedroots-for-50-mn-to-strengthen-ai-ml-offerings/
4. https://www.vccircle.com/bharatpe-inside-an-old-covenant

Cite this article:

Thanusri swetha J (2022), Ed-tech firm Scaler acquires online learning platform AppliedRoots for $50 million, Anatechmaz, pp. 109