Aakash’s revenue on track to reach INR 4,000 crore with an EBITDA of INR 900 crore in the fiscal year 2023-24
National, 5 June, 2023: BYJU’S, world’s leading edtech company, announces that it will launch the Initial Public Offering (IPO) of its subsidiary, Aakash Education Services Limited (AESL) mid next year. The IPO will mark a milestone in the continued growth and expansion of Aakash + BYJU’S, creating a comprehensive portfolio of products that caters to a broader range of students.
The Board of BYJU’S has granted its official sanction for this pivotal undertaking. The appointment of the merchant bankers for the IPO will be announced soon to ensure a planned and successful listing next year. The upcoming IPO will provide a significant capital infusion to bolster Aakash’s infrastructure, broaden its reach, and extend high-quality test-prep education to a larger number of students across the nation.
Since acquisition, Aakash has benefitted from multiple synergies with BYJU’S that have accelerated its growth – clocking a three-fold increase in revenue in the last two years. AESL’s revenue is on track to reach INR 4,000 crore with an EBITDA of INR 900 crore in the fiscal year 2023-24.
Test-prep market revenues are predicted to grow at a CAGR of 9.3% over 2020-2025, led by the online test preparation segment which is predicted to grow at a CAGR of 42.3% over the same duration, as per Ken Research. Aakash is uniquely positioned to capitalize on this growth due to its comprehensive range of offerings that combine the best of classroom-based learning with cutting-edge digital products and services tailored for engineering and medical entrance exams.
With BYJU’S extensive experience in online education, vast student base across India and Aakash’s leadership in the offline test-prep market, the combined entity has strengthened its position in the industry. Additionally, BYJU’S has further empowered Aakash with its advanced tech and digital infrastructure helping them offer engaging and powerful learning experiences.
As Aakash prepares for its public listing, the company remains dedicated to its core values of academic excellence and student success. A market leader in the test-prep category, Aakash now looks forward to leveraging the opportunities presented by its public listing to empower even more students to achieve their aspirations and excel in their chosen fields.
Aakash is India’s largest and one of the most successful test prep companies for engineering and medical entrance exams, with over 325 centres currently serving more than 400,000 students across the country. With over 35 years of legacy in test-prep, Aakash has consistently produced outstanding results in the highly competitive JEE (Joint Entrance Examination) for engineering and NEET (National Eligibility cum Entrance Test) for medical studies. In fact, one out of every three doctors in India is an Aakashian, demonstrating the trust and faith that students and parents place in Aakash’s methodology and pedagogy.
