Reliance Industries (RIL) on Friday announced it has agreed to buy a majority stake of 72.69 percent from the artificial intelligence (AI)-based education platform Indiavidual Learning (Embibe) from existing investors over the next 3 years.
In a statement here, the Mukesh Ambani-led RIL said it has agreed to invest that the rupee equivalent of $180 million (roughly Rs. 1,200 crores) to Embibe, which leverages data analytics to provide personalised learning results to each student.
“Reliance executed definitive agreements to acquire majority shareholding constituting 72.69 percent (on a fully diluted basis) from existing shareholders. . .Embibe,…,” the statement said.
Embibe will use the capital to deepen its own research and development (R&D) on AI in the field of education, business growth and expanding geographical presence, catering to pupils across K-12, higher education, professional skilling, vernacular languages and all curriculum categories across India and abroad, it said.
The Founder and Chief Executive of Embibe, Aditi Avasthi, will continue in her leadership role to drive the development of the company, the announcement added.
Commenting on the evolution the Director of RIL’s telecom arm Reliance Jio, Akash Ambani, said in a statement: “The investment in Embibe underlines Reliance’s dedication to developing the education sector in India and the world and making education available to the broadest possible group of students by deploying technology.”
“Reliance aims to connect over 1.9 million schools and 58,000 universities across India with technologies,” he explained.
“With robust AI stacks focused on content automation and intelligence, behavioural recommendations and student intelligence, our goods have redefined how EduTech can affect the lives of teachers and students,” explained Avasthi.
The transaction is subject to customary closing conditions, while Citibank acted as the financial advisors, the release said.
AZB and Partners, Covington and Burling LLP and KPMG acted as legal advisors, while Pricewaterhouse Coopers supplied tax advisory and diligence services to RIL, it added.