Veranda Learning Solution, a newly formed education technology startup from the Kalpathi Group Monday acquired Tamil Nadu based test-prep institute ‘Chennai Race’ for Rs.100 crore.
“The transaction, valued at over INR 100 crores that includes stock and earn out. The new brand called Veranda Race will initially offer online training programs for banking, staff selection commission and Tamil Nadu Public Service Commission (TNPSC),” Veranda Learning.
“In Race, we see an alignment with our philosophy of rigor and discipline in their education delivery, focus on outcomes and affordability…Race is a great brand to bring under our newly launched venture, as it opens new possibilities in the core areas of our business,” said Suresh Kalpathi, chief executive officer of Veranda Learning.
In 2019-20 financial year, Chennai Race recorded sales of about INR 45 crores. Bharath Seeman, promotor of Chennai Race, said the new brand ‘Veranda Race’ programs are set for rollout nationally soon and offer test prep content in 11 Indian languages by end of 2021.
Chennai-based Kalpathi Group with operations in education, software, venture capital and entertainment on 1 Dec announced the launch of new ed-tech firm Veranda Learning with a focus on test prep sector.
Suresh Kalpathi has said then that he will acquire companies to grow faster and is ready to pump in more investments over the next few months. The ₹4,000-crore worth Kalpathi group will hire 1,000 employees in one year, with 75% being regular staff.
Veranda Learning aims to be a large player to offer training programmes in test preparation for all competitive exams in India and abroad, including IIT-JEE, medical entrance NEET, banking and civil services exam preparations besides the larger K-12 school segment.