Byju’s said to be in talks to list in U.S. via a SPAC

Deal could value edtech firm at $48 billion

December 16, 2021 10:45 pm | Updated 10:45 pm IST - Bengaluru

Tiger Global-backed Byju’s is in talks for a U.S. listing through a deal with veteran dealmaker Michael Klein’s blank-check firm that could value the Indian edtech firm at $48 billion, a source told Reuters on Thursday.

Byju’s, which offers online education and caters to all age groups, has benefited from a boom in online education as schools and in-person classes were forced shut by the COVID-19 pandemic.

Discussions with Churchill Capital’s special purpose acquisition company (SPAC) about the deal, that could happen in mid-2022, are in advanced stages with plans to raise about $4 billion, the source added.

While the negotiations are not final, Byju’s will also consider a dual listing and if the deal does not come through, the company could seek a listing in India next year, the source said.

Indian startups have been on a tear in 2021, with several entering the “unicorn” club of $1 billion valuation.

In the U.S., several companies have used the SPAC route to go public. SPACs are publicly listed investment vehicles that have no operations and are raised with the intention of merging with a private company.

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