Unacademy Acquired by upGrad for Just Over $200 Million in Major EdTech Deal
upGrad has finalised its acquisition of Unacademy for slightly over $200 million, down significantly from Unacademy’s highest valuation of $3.44 billion during the edtech bubble of the epidemic era. The acquisition comes after the Competition Commission of India greenlit the deal.
Just over $200 million has been spent by Ronnie Screwvala's upGrad to acquire edtech business Unacademy. Consequently, it represents a significant resetting from the latter's all-time high valuation of $3.44B. On September 1, Unacademy's co-founder and CEO Gaurav Munjal announced the deal's conclusion in a post on X.
He claimed the two companies' months-long, intermittent negotiations had finally come to an end with the arrangement. "We raised at a peak, but sold at a fraction of that," Munjal added, recognising the significant decrease in Unacademy's worth since its peak during the pandemic.
Six years ago today, Unacademy became a unicorn. Today, Unacademy has closed its acquisition by UpGrad for just over $200M. We raised at a peak, but sold at a fraction of that. I'm not going to dress these facts up. But I am proud of what this team did between those two numbers.…
— Gaurav Munjal (@gauravmunjal) September 1, 2026
How the Deal will Benefit upGrad?
Higher education, professional upskilling, study abroad, and certification are upGrad's current services. With this acquisition, the company enters the online test-preparation market with Unacademy's offers across UPSC, JEE, NEET, and GATE. A unicorn six years ago, Unacademy grew swiftly during the edtech boom that the pandemic sparked. At its height, its value was $3.44 billion.
After that, it started focusing on creating a more sustainable company and cut back on activities. Reports of upGrad's negotiations to acquire Unacademy, valued between $300 million and $400 million, surfaced in November 2025. The negotiations proceeded through multiple rounds, with a brief pause due to disagreements about valuation, before picking back up again. With Munjal's continued role as CEO of Unacademy, the two companies inked a term sheet in March for an all-stock acquisition. The merger was cleared of regulatory hurdles in July when the Competition Commission of India gave its approval to the proposed merger.
Unacadmey Making Financial Recovery
The acquisition is timed to coincide with Unacademy's announcement that its financial status has greatly improved since the challenging times after the edtech boom. According to Munjal, the majority of the company's ventures are now profitable or very close to being profitable, and the topline has increased to almost INR 400 crore. He further stated that Unacademy's bank balance was close to INR 900 crore.
That, in Munjal's view, meant the business could have kept going without outside help when it needed money. According to him, the bigger picture of the education ecosystem was more important than financial considerations when deciding to merge with upGrad. Munjal made the observation that, at times, "you are drawn toward a path that is more exciting than the one that makes you more money."
The acquisition would enable upGrad to join the online test-preparation industry, an area in which it has no prior presence, according to its submission with the Competition Commission of India. As a result of the merger, upGrad's education offerings will be supplemented by Unacademy's test-preparation operations, creating a unique combination in India's education industry.
