As online adult education and up-skilling startup UpGrad looks to scale up its operations, it has begun discussions with potential investors for its first round of external funding. It is planning to raise about $40 million (Rs 266.11 crore). This round of funding is expected to close by the end of the first quarter of the current calendar year.
The capital will be utilized for building UpGrad's global technology platform, investing in courses and content facilities and studios, offline and online marketing, and towards the creation of up to 50 offline UpGrad XChange centers for offline engagement and networking.
The company is currently backed by Ronnie Screwvala, who has so far invested about Rs 100 crore into the company and has committed an additional Rs 200 crore. Now the company is in discussions with about three investors, two financial and one strategic.
The startup, which competes with the likes of Coursera and Udacity, claims to touch revenue run rate of Rs 250 crore and a student-run rate of 8,000 in March 2018.
It has also tied up with a number of top education establishments, including IIM Bangalore, BITS Pilani, SP Jain, and MICA. Last year there were also reports about the company’s plan to enter West Asia, Southeast Asia, and Africa before stepping into more developed markets.