upGrad's Strategic Acquisition of Internshala: A Deep Dive into India's Evolving Edtech Landscape

In a significant move poised to reshape India's burgeoning edtech and recruitment sectors, upGrad, a prominent online higher education and upskilling platform, announced its acquisition of Internshala, a leading internship and early-career hiring platform. This strategic consolidation, finalized through a 90% stock-swap transaction, underscores upGrad's ambition to create an end-to-end career lifecycle ecosystem, bridging the long-standing gap between education and employment in India. The deal, though undisclosed in value, is reportedly pegged at approximately ₹100 crore, signaling a continued trend of strategic mergers and acquisitions within the Indian edtech space.

The Acquisition: Details and Strategic Rationale

The acquisition, announced on February 26, 2026, saw upGrad secure a 90% stake in Internshala. Notably, Internshala will retain its independent brand identity and continue operations under the leadership of its founder and CEO, Sarvesh Agrawal. This approach suggests upGrad's intent to leverage Internshala's established brand equity and operational expertise while integrating its offerings into a broader strategic vision.

upGrad's primary strategic rationale behind this acquisition is to cover the entire career lifecycle of a professional, from initial education and skill development to securing employment. Ronnie Screwvala, Co-founder and Chairman of upGrad, aptly described Internshala as a "base camp" for learners, emphasizing its role in connecting education with employment at the earliest stages of a student's career.

This integration is expected to create a robust talent pipeline, enabling upGrad to supply pre-trained talent to Internshala's extensive network of over 450,000 employers. The synergy between upGrad's learning programs and Internshala's hiring outcomes is anticipated to be a key driver for future growth and market leadership.

upGrad: A Consolidator in the Edtech Space

Founded in 2015 by Ronnie Screwvala, Mayank Kumar, Phalgun Kompalli, and Ravijot Chugh, upGrad has rapidly emerged as a significant player in the online higher education and upskilling sector. The company achieved unicorn status in August 2021, with its post-money valuation reaching $2.25 billion as of October 2024.

upGrad has secured a total equity funding of $329 million across six funding rounds, with its latest Series C round raising $60 million in October 2024. The company reported an annual revenue of ₹1,650 crore ($195 million) in FY25, marking a substantial 79% year-over-year growth, though it also reported a net loss of $32.4 million for the same period.

With an employee count of 7,970 as of May 2025, upGrad's core focus lies in providing higher education, upskilling, and professional development programs for both B2C and B2B segments. Its aggressive acquisition strategy, including the acquisition of Harappa and 19 other companies, has been instrumental in building an integrated edtech ecosystem, expanding its offerings across various domains.

Table 1: Selected Acquisitions by upGrad

This extensive list of acquisitions highlights upGrad's consistent strategy of expanding its market reach and diversifying its service portfolio. The acquisition of Internshala follows closely on the heels of upGrad's advanced talks to acquire Unacademy for $300-$400 million in early 2026, a deal that ultimately collapsed due to valuation disagreements. This demonstrates upGrad's proactive approach to market consolidation and its strategic positioning to capitalize on opportunities within the evolving edtech landscape.

Internshala: From Blog to India's Largest Internship Platform

Internshala, founded in 2010 by IIT Madras alumnus Sarvesh Agrawal, began its journey as a blog aimed at helping students enhance their resumes and improve their employability. Over the years, it has transformed into India's largest internship and early-career hiring platform, headquartered in Gurugram. Internshala's mission revolves around empowering students to kickstart their careers through meaningful internships and skill-building opportunities.

The platform boasts impressive metrics, with over 34 million registered users and a network of more than 450,000 employers. Approximately 3 million candidates apply for roles annually, with a significant portion (over 40%) hailing from Tier 2 and Tier 3 cities, underscoring Internshala's broad reach and impact across India. Internshala has raised a total equity funding of $6.45 million across four funding rounds, with its latest Series A round raising $3.91 million in May 2022. As of October 2022, its post-money valuation stood at $20.8 million.

In the fiscal year 2025, Internshala reported an annual revenue of ₹44.1 crore ($5.21 million) and a net loss of $1.3 million. The company had an employee count of 267 as of August 2025. Notable investors include LC Nueva AIF, Mount Judi Ventures, and IgniteWorld.

Internshala's business model primarily functions as a recruitment marketplace, connecting students and freshers with internship and entry-level job opportunities. While access for students is free, employers can opt for premium services. Additionally, Internshala offers paid online training programs, known as Internshala Trainings, which cover various in-demand skills such as web development, data science, and digital marketing, often accompanied by placement guarantees. This dual approach of facilitating recruitment and providing skill development aligns perfectly with upGrad's overarching strategy.

The Indian Edtech Market: A Landscape of Correction and Consolidation

The Indian edtech market has undergone a significant transformation in the post-pandemic era. After experiencing hyper-growth during the pandemic, the sector is now in a paradigm in education. As the Indian edtech market continues its phase of correction and consolidation, upGrad's integrated approach, bolstered by this acquisition, could set a new benchmark for comprehensive career enablement.