The Masai School Raises Nearly $5 Million Led By Existing Supporters

Masai School, an ed-tech business, has received Rs 38.62 crore ($4.77 million) in a pre-Series B2 round led by India Quotient and On Mauritius. The new finance comes after a 12-month wait for the Bengaluru-based startup.

Masai School’s board of directors has approved a resolution to issue 2,403 pre-Series B2 compulsory convertible preference shares (CCPS) at an issue price of Rs 1,60,707 per share to raise Rs 38.62 crore or $4.77 million, according to a regulatory filing with the Registrar of Companies (RoC).

India Quotient and On Mauritius each contributed Rs 15.81 crore ($1.95 million) to the fundraising round. Unitus Ventures also contributed Rs 7 crore to the deal.

The firm is worth roughly Rs 400 crore ($50 million) (post-allotment). Masai has raised approximately $12 million in total capital to far, including this round. It received an unknown sum from more than 20 angel investors in October 2021.

Masai School is a higher education career institute that prepares young people for some of the most highly prized careers. It provides courses in full-stack web development, backend programming, and data analytics to prepare students for employment.

To build an outcome-oriented learning method, the organization uses an Income Share Agreement (ISA) model. Several businesses and unicorns hire from the Masai platform, including ShareChat, Swiggy, Ola, Meesho, CoinSwitch Kuber, Cleartrip, NoBroker, and Paytm.

Following the round’s completion, co-founders Prateek Shukla, Nrupul Dev, and Yogesh Bhat jointly own 39.58% of the firm, followed by India Quotient, which owns 21.63%. On Mauritius and Unitus Ventures, respectively, hold 17.77% and 15.58% of the company.

Masai School just announced a 10-fold increase in the number of B2B employment partners in the last year. According to the firm, it is now aiming for Rs 120 crore in sales in FY23, up from Rs 19 crore in FY22.

While figures for FY22 have not yet been released, the company’s income from operations increased 4.7X to Rs 2.47 crore in FY21 from Rs 53 lakh in FY20. According to its annual financial accounts filed with the RoC, the company’s losses increased 3.5X to Rs 6.78 crore in FY21, up from Rs 1.94 crore in FY20.

Masai School is one of the numerous Indian players influenced by the Lambda School in the United States. Newton School and Scaler by InterviewBit are both in the same market. Scaler, which is supported by Tiger Global, raised $55 million in its Series B round in February at a valuation of $710 million. Newton School soon after received $25 million in a Series B investment.