Listed education company Veranda Learning raises Rs 425 crore debt from BPEA Credit

Veranda Learning, a publicly listed education company offering a diverse range of training programs for competitive exam preparation, has raised Rs 425 crore through Non-Convertible Debentures (NCDs) from BPEA Credit.

The company, which also offers professional skilling and upskilling programs, aims to infuse the raised capital in three key areas: acquisitions, refinancing of existing debts, and an enhancement of working capital. 

Aims to dominate in the education space 

The decision to raise funds aligns with Veranda's long-term strategy to dominate the education space. Suresh Kalpathi, the Executive Director and Chairman, said, “The proceeds from the NCD issuance will be instrumental in supporting our expansion plans, enabling us to pursue strategic acquisitions, enhance operational efficiencies, and drive long-term value creation for our stakeholders.”

Anand Rathi Advisors highlights attractiveness of the education sector

BPEA Credit's involvement is a significant endorsement of Veranda's potential and strategic direction. Kanchan Jain, the head of BPEA Credit Group, highlighted the investment's alignment with their objective of fostering growth and creating lasting impacts in education.

Anand Rathi Advisors, the lead bankers involved in arranging the capital for Veranda, highlighted the attractiveness of the education sector for investors. Atul Thakkar, Director of Anand Rathi Investment Banking, remarked, “Anand Rathi Group sees immense potential in this sector and is pleased to have facilitated transactions exceeding $450 million in FY24 alone, including this significant deal.”

Veranda's acquisition strategy

Veranda's aggressive acquisition strategy is a cornerstone of its growth. It has invested over Rs 1,000 crore in purchasing more than a dozen companies. These acquisitions have propelled the company from a revenue of Rs 2.5 crore in FY21 to nearly Rs 200 crore in FY23.

The company's revenue in the first half of FY24 alone has surpassed Rs 170 crore, showcasing the effectiveness of its expansion strategy.

A comprehensive educational ecosystem

Founded in 2018 by the Kalpathi AGS Group, Veranda Learning Solutions has rapidly evolved into a comprehensive educational platform. Offering a wide range of training programs for competitive exams and professional upskilling, Veranda leverages technology and innovative methodologies to deliver personalized learning experiences.

Its diverse portfolio includes brands like Veranda RACE, Veranda IAS, and JK Shah Classes, among others, each contributing to the company's mission of impacting students' lives positively and ensuring academic success.