Archive · 9 Jan 2026
upGrad-Unacademy Merger Talks Collapse Over Valuation Dispute
upGrad and Unacademy were talking about merging, but they couldn't agree on how much Unacademy is worth.
Unacademy wanted between $300 million and $400 million, but upGrad didn't offer that much.
This happened after Unacademy's CEO said they might merge if it made the company stronger.
Unacademy's value has gone down a lot since its peak of $3.5 billion in 2021.
The company has big investors like Tiger Global and SoftBank.
Earlier, there were rumors about another company, Allen, wanting to buy Unacademy for $800 million, but the CEO said that wasn't true.
Now, the merger with upGrad is off because they couldn't agree on the price.
Unacademy has about ₹1,100 crore in cash and is focusing on its main test-prep business after some leadership changes and cost-cutting measures.
upGrad and Unacademy's merger talks collapsed due to valuation differences.
Unacademy sought a valuation of $300M-$400M, while upGrad's offer is unknown.
Unacademy's current valuation is reportedly below $500M, down from its peak of $3.5B in 2021.
Unacademy's CEO, Gaurav Munjal, had previously confirmed M&A talks but denied earlier acquisition rumors with Allen.
Unacademy has around ₹1,100 crore in cash and is refocusing on its core test-prep business.
- Who
- upGrad and Unacademy
- What
- Merger talks collapsed due to valuation differences
- When
- Over a month after Unacademy CEO confirmed M&A talks
- Where
- India (edtech sector)
- Why
- Disagreement on final valuation
Unacademy
upGrad
Valuation Expectations
Unacademy
Unacademy sought a valuation of $300M-$400M for the acquisition.
upGrad
upGrad's valuation offer was lower, but the exact amount is unknown.
- Companies Involved
- upGrad and Unacademy
- Valuation Dispute
- Unacademy sought $300M-$400M, upGrad's offer unknown
- Unacademy's Peak Valuation
- $3.5B in 2021
- Current Valuation
- Below $500M (as per Gaurav Munjal)
- Unacademy's Backers
- Tiger Global, Peak XV Partners, SoftBank, WaterBridge Ventures, Meta
- Previous Acquisition Talks
- Allen (reported $800M deal in December 2024, denied by Munjal)
- Unacademy's Cash Reserves
- ₹1,100 crore
- Leadership Changes
- Munjal and Saini stepped back; Jain appointed CEO of test-prep business
Sources
upGrad-Unacademy Merger Talks Fall Apart On Valuation Differences
upGrad drops plans to acquire Unacademy following valuation differences
UpGrad–Unacademy acquisition talks fall through over valuation differences: Report
Upgrad calls off Unacademy acquisition talks over valuation differences
UpGrad drops Unacademy acquisition talks as valuation sinks 90%
UpGrad backs out of Unacademy deal citing valuation and business concerns - Telegraph India
