The Education Bubble Bursts: Eruditus on the Brink of Flop as Valuation Takes a Nose Dive
Get ready for the ultimate education catastrophe. Indian edtech startup Eruditus, once touted as the crown jewel of the industry, is on the verge of a catastrophic collapse as its valuation plummets by over 40% to a mere $1.8 billion. The once-promising startup, which had risen to fame with its impressive $3.2 billion valuation, is now on the brink of financial disaster due to its inability to meet performance targets.
But who’s to blame for this calamity? None other than the brain trust at Eruditus itself. Sources close to the company reveal that the startup’s lack of innovation and stagnation have led to a decline in revenue, leaving investors like TPG scrambling for the exit door.
The $150 million investment being discussed, led by TPG, is nothing but a last-ditch effort to prop up a failing business. The proposed terms of the deal, which value Eruditus at up to $2.3 billion, are nothing but a desperate attempt to make the startup appear more attractive to potential investors.
But the writing is on the wall: Eruditus is on its last legs. The company’s failure to deliver on its promises has left it drowning in debt, and its only lifeline is a desperate attempt to milk its existing investors for every last penny.
And what of the Indian edtech market, which had risen to fame with the meteoric rise of Byju’s? Well, that’s a whole different story. The collapse of Byju’s, once valued at $22 billion, is a testament to the unsustainable bubble that has burst, leaving the entire industry reeling. As the dust settles, it’s clear that Eruditus is just the tip of the iceberg, and the entire edtech market is on the verge of a massive reckoning.
So, buckle up and get ready for the education apocalypse. It’s going to be a wild ride.
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