Byju’s insider says the US SPAC offer values company at $48 billion

• Edtech giant Byju’s has received an offer from one of Churchill Capital’s special-purpose acquisition companies (SPAC) to go public in the USA.
• The company may choose to go for a primary initial public offering (IPO) in the US and later have a secondary public issue in India as well.
• The $48 billion valuation has been derived based on Byju's estimated revenue of $3 billion in FY2023, sources have revealed.

Edtech giant Byju’s — which is leading the Indian startup ecosystem with the highest valuation — has received an offer from one of Churchill Capital’s special-purpose acquisition companies (SPAC) to go public in the USA, at a valuation of $48 billion.

SPAC, also known as blank check companies, is an entity that has no commercial operations and is formed strictly to raise capital through an IPO.

A source aware of the development told Business Insider that Byju’s has four to six weeks to respond to the offer. The company may choose to go for a primary initial public offering (IPO) in the US and later have a secondary public issue in India as well.

The source, on the condition of anonymity, have highlighted Byju's inroads to generate $1.5 billion in revenue for fiscal year 2022. Of this, nearly $400 million would be through the company’s international operations in the US, UK, Singapore and others.

The $48 billion valuation has been derived based on Byju's estimated revenue of $3 billion in FY2023, sources have revealed.

Business Insider has reached out to Byju’s seeking confirmation on the same. The article will be updated if and when the company responds.

The development was first reported by Bloomberg.

Notably, Byju’s is currently valued at $18 billion and is backed by Chan Zuckerberg Initiative, Edelweiss, Asmaan Ventures, Mirae Asset and B Capital among others. The company has raised $4.8 billion to date as per business insights platform Crunchbase.

Byju’s — jokingly known as Buy-ju’s because of its massive acquisition streak — raised over a billion dollars in 2021 across multiple tranches in order to expand its global presence. The company acquired nine companies this year, including coaching centre chain Aakash Institute, rival Toppr, US-based learning platform Epic and upskilling platform Great Learning.

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