Gurgaon-based edtech startup Sunstone has announced that the company has raised $35 Mn, which is about INR 280 Cr, in Series C round led by WestBridge Capital. Other investors that participated in the funding round included Alteria Capital is one of the largest Venture Debt funds in India.
The funding comes at a time when edtech platforms are facing troubles in raising fresh funds as physical education and learning returned offline with ease in COVID-19 cases.
According to Ashish Munjal, founder, Sunstone, the fresh funding will be used for the expansion of new programmes, with a particular emphasis on undergraduate technology programmes.
The higher-education startup, which currently marks its presence in more than 35 cities and over 40 institutions, is involved in capacity building with a view to expand into as many as 100 cities throughout India. Further, Sunstone, which started off with post graduate management education, for the first time ventured into undergraduate programs this year and it has registered a whopping 10-fold growth in the past two years.
Sharing his views, Munjal said, “The Indian higher education system is at the brink of a long overdue transformation. Sunstone is well positioned to enable this change and impact the lives of millions of students. Over the years, we have made significant strides in the direction but still have a long way to go as the market opportunity and problem we are trying to solve is very large.”
Sharing his thoughts, Sandeep Singhal, Managing Partner, WestBridge Capital said, “Over the last year, we have seen Sunstone grow and continue to upgrade the quality of education provided to every student. Seeing the ever-increasing demand and its potential to be a major disruptor, we are excited to double down our investment to support its mission of transforming the higher education sector in India.”
Founded by Ashish Munjal and Piyush Nangru in 2019, Sunstone focuses on higher education. Reportedly, the edtech startup raised $28 Mn in Series B in October 2021. The series was also led by WestBridge Capital, with participation from three existing investors: Saama Capital, Alteria Capital, and Work 10m.
It was established with the goal of transforming the higher education space in the country. Furthermore, the Gurgaon-based edtech startup works to bring about accountability, accessibility, and quality education for all.
Sunstone aims to become the de-facto choice for every student who wishes to pursue meaningful education by making it outcome-focused and industry relevant.
Besides, investment firm WestBridge Capital which was founded in 2000 seeks to partner with some of the country’s most promising mid-sized companies run by outstanding entrepreneurs and management teams for the long term. While Alteria Capital, established in 2018, focuses on innovative startups backed by strong VC sponsors.
The dearth of funding in 2022 follows two golden years for edtech startups. In 2021, investors pumped $4.7 Bn into edtech platforms while 2020 saw startups raising about $2.2 Bn.