NSE-listed Arihant Academy Ltd Thursday announced a deal to acquire a majority stake in a coaching institute that caters to students preparing for IITs and medical colleges.
The Mumbai-based coaching is buying a 51% stake in Zen Educational and Learning (ZEAL), at a valuation of Rs 17 crore.
The acquisition, Arihant said, will enable it to expand academic portfolio across the city's metropolitan region and cater to a larger student base.
The acquisition will be done in two tranches and be fully completed by October 2025.
ZEAL generated a turnover of Rs 6.5 crore in the financial year ended March 31, 2024, while, while Arihant Academy’s revenues were at Rs 32 crore in the same year.
"By merging ZEAL Academy's local expertise with Arihant Academy's proven teaching methods, we aim to create a more comprehensive learning experience and a stronger educational framework for students across the metropolitan region," said Anil Kapasi, managing director at Arihant Academy.
ZEAL was founded in 2016 and started business as a partnership company. It provides foundation courses to classes 7 and 8 students and coaching to students aspiring for IIT-JEE and NEET tests.
InCorp Global provided advisory and execution to the companies for the transaction.
