Steadview Capital led the Series B round of funding for Newton School, an online coding training platform that is income sharing-based. The company has raised Rs 188.4 crore (or $25 million). This new round comes within 15 months of the company's previous Series A investment, which saw them pick up $5 million from RTP Global.
The Newton School, Bengaluru, has approved a special resolution to allot 10 equity shares and 5,473 Series A preference shares in order to raise Rs. 188.4 crore (or $25 million), regulatory filings indicate.
Steadview contributed $15 million to this round, while Nexus and RTP Global contributed $5.9 million each and $3.4 million, respectively. Sama Family Trust and AngelList invested the remainder.
According to Fintrackr estimates, Newton School raised fresh funds at an estimated value of Rs 1,034 crore (or $138 million). This represents a sevenfold increase in the company's valuation compared to $20 million in previous rounds.
After the allotment, Newton School's co-founders Siddhartha Mahashwari and Nishant Chandra have reduced their combined stake from 44.68% down to 35.89%.
Nexus holds the largest stake with 24.72%, followed by RTP Global with 14.42% stake and Steadview at 11.11% and 11.11%, respectively.
About Newton School
The US-based Lambada School has inspired Newton School. InterviewBit's Scaler is the market leader, along with Masai School (and Pesto), among others.
Newton School saw a remarkable jump in operating revenue in FY21. In FY21, the company had a revenue of Rs 4.18 crore, compared to Rs 5 lakh for FY20.
Its losses have risen by more than 150% to Rs 4.57 Crore during FY20's fiscal year, compared with Rs 1.82crore in FY20.
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