Veranda Learning to acquire 50% stake in Tapasya Educational Institutions for Rs 120cr

In a landmark move within the education sector, Veranda Learning Solutions, a listed enterprise renowned for offering comprehensive solutions in education, has announced a strategic acquisition. The company will acquire a 50% stake in Tapasya Educational Institutions Private Limited (TEIPL) for a consideration of Rs 120 Crore. This acquisition will be executed through Veranda XL Learning Solutions Private Limited, a material subsidiary of Veranda Learning Solutions.

Established in 2009, Tapasya Educational Institutions has carved a niche in providing services to 19 Inter/ PU Colleges and 10 Degree Colleges across 13 locations in Telangana and Karnataka. Currently, Tapasya caters to over 13,000 students, offering a diverse range of educational and allied needs. The institution’s courses span across Intermediate, Pre-University, Graduation courses such as B.Com and BBA, Professional Courses like CA and CMA, as well as Integrated programs. TEIPL is anticipated to deliver a revenue of Rs 65 crores with an EBITDA of Rs 26 crores for FY24.

This acquisition represents a win-win scenario for both Veranda Learning and Tapasya. Veranda Learning, with its vision to be present across the entire learning journey of a student, will significantly bolster its ecosystem in the Commerce Higher Education space through this acquisition. The company can now tap into Tapasya’s existing network, expanding its offerings in CA and other competitive exam courses while leveraging regional expertise. Tapasya Educational Institutions, in turn, stands to benefit from Veranda Learning’s extensive experience in curriculum development, technology integration, and student support services. This partnership is expected to enhance the quality of education and broaden the scope of learning opportunities for students in both Telangana and Karnataka.

Muppala Sreedhar, Founder and Chairman of Tapasya Institutions, expressed his excitement about joining forces with Veranda Learning Solutions. He believes this collaboration will leverage their shared vision for educational excellence and result in a powerful synergy that will greatly benefit students and stakeholders in the education sector.

Suresh Kalpathi, Executive Director and Chairman of Veranda Learning Solutions, shared his enthusiasm about the acquisition. He highlighted that this strategic move aligns perfectly with Veranda’s commitment to delivering high-quality education solutions. “The goal is to touch 1 million students in FY24, and this endeavor of ours will take us in that direction,” he stated. Kalpathi also emphasized that Tapasya’s strong presence in Telangana and Karnataka fits seamlessly into Veranda Learning’s expansion strategy.

This acquisition by Veranda Learning Solutions is more than just a business transaction; it represents a significant step in reshaping the educational landscape in the regions of Telangana and Karnataka. By combining the strengths of both entities, Veranda Learning and Tapasya are set to create a more robust and integrated educational ecosystem that will cater to the evolving needs of students in these regions.

In summary, Veranda Learning Solutions’ acquisition of a 50% stake in Tapasya Educational Institutions marks a pivotal moment in the education sector. It not only signifies the expansion of Veranda’s educational offerings but also underlines the company’s dedication to fostering academic excellence and innovation. This collaboration is poised to set new benchmarks in the field of education, offering enhanced learning experiences and opportunities to students across India.