UpGrad Set to Finalize Unacademy Acquisition in Three Weeks at ₹1,955 Crore Valuation
Bengaluru / Mumbai — Higher education and upskilling firm upGrad is in the final stretch of completing its landmark acquisition of test-preparation platform Unacademy, with the transaction expected to formally close within the next three weeks.
The all-stock merger has been pegged at approximately ₹1,955 crore, slightly lower than the initial estimate of ₹2,055 crore discussed when negotiations began earlier this year. The revision reflects final share subscription adjustments during the closing process.
Key Highlights of the Acquisition
Final Legal Approvals: Almost all institutional investors have signed the Share Subscription Agreement (SSA), while angel investors have executed the Share Purchase Agreement (SPA).
Regulatory Clearance: The transaction received formal approval from the Competition Commission of India (CCI) on July 7, clearing the primary legal hurdle for completion.
Board Representation: Unacademy’s investor group will receive one seat on upGrad’s board of directors, offering formal institutional governance representation in the combined entity.
Leadership Continuity: Unacademy co-founder Gaurav Munjal will continue to serve as the CEO of Unacademy post-merger.
Operations Consolidate in Bengaluru
As part of the structural integration, upGrad is streamlining operations across Unacademy’s umbrella companies:
PrepLadder: The medical test-prep platform’s headquarters is relocating from Chandigarh to Bengaluru.
Airlearn: Unacademy’s internal language-learning incubator project, Airlearn, will also move directly under upGrad’s portfolio.
Graphy & Core Unacademy: Central tech, creator-monetization, and test-prep operations for Unacademy and Graphy will now operate out of Bengaluru.
Divergent Financial Trajectories
The consolidation arrives after contrasting financial performance across both edtech majors during the post-pandemic market correction:
| Metric / Financial Indicator | Unacademy (FY25) | upGrad (11M Ended Feb 2026) |
| Operating Revenue | ₹826.3 Cr (Down ~16% YoY) | ₹1,531.7 Cr |
| Provisional Profit / EBITDA | Operational Losses / Restructuring | ₹38.8 Cr Profit (₹56.9 Cr EBITDA positive) |
| Core Market Focus | Test-prep, K-12, competitive exams | Higher education, degrees & upskilling |
While Unacademy navigated revenue contractions due to rising offline center competition and reduced online subscription volumes, upGrad turned EBITDA positive through disciplined enterprise programs and higher-margin university degree partnerships.
What This Means for India's Edtech Sector
This deal represents one of the largest consolidation moves in the Indian startup ecosystem. By uniting upGrad’s strength in executive degrees and professional upskilling with Unacademy’s reach in competitive exam preparation and creator platforms, the combined entity aims to build a comprehensive lifelong learning ecosystem ranging from university test prep to career advancement.