Ronnie Screwvala's UpGrad walks away from talks to acquire Unacademy

Deal discussions collapsed over valuation differences, ending one of India's most closely watched edtech negotiations

Serial entrepreneur Ronnie Screwvala’s upskilling venture, UpGrad, has exited negotiations to acquire SoftBank-backed Unacademy, drawing the curtain on one of the edtech sector’s most closely scrutinised deal talks.

 

“Yes, we are not proceeding due to valuation differences. While we cannot comment on specific numbers, it is fair to say that we were unable to arrive at a mutually agreeable valuation,” Ronnie Screwvala, co-founder of UpGrad, confirmed to Business Standard.

 

The proposed transaction, structured as an all-stock deal, was said to value Unacademy at about $300 million — representing a roughly 90 per cent decline from its $3.4 billion peak valuation in 2021. People familiar with the discussions said the gap in valuation expectations proved too wide to bridge.

 

 

UpGrad, for its part, was pegging its own valuation at around $2.25 billion, and the terms ultimately failed to align with the strategic and financial objectives of either company.

 

The collapse marks another failed acquisition attempt for Unacademy. In 2024, the company held talks with Kota-based Allen Career Institute, seen as valuing Unacademy at roughly $800 million — a deal that also unravelled over valuation disagreements.

 

The setback comes during a volatile period for Unacademy. Earlier this week, the company reportedly reversed a contentious change to its employee stock option policy, reinstating a longer exercise window for former employees after facing significant pushback.