Introduction: Hyderabad-based edtech startup Bhanzu, known for its focus on math education, has raised $16.5 million in a Series B funding round led by Epiq Capital and Z3 Partners. Existing investors such as Lightspeed Ventures and Eight Roads also participated in the round. The new capital infusion will fuel Bhanzu’s plans for an aggressive expansion in the U.S. market, where it aims to disrupt the math education landscape with its tech-driven and experiential learning approach.
Expansion and Market Strategy: Bhanzu currently operates in India, the U.S., the U.K., and the Middle East. With the U.S. math education market ripe for disruption, Bhanzu sees a valuable opportunity to carve out a niche among legacy companies with outdated curricula. Co-founder and CEO Neelakantha Bhanu highlighted that Bhanzu’s innovative curriculum and technology-driven methods can bring a fresh perspective to math education in the U.S., a market dominated by established but largely stagnant players.
Funding Journey and Growth Trajectory: Founded in 2020, Bhanzu raised approximately $15 million in its Series A round in 2022, led by Eight Roads Ventures. The recent Series B round brings the startup’s total funding to over $33 million, enabling Bhanzu to focus on growth and expanding its reach internationally. The company claims to have grown eightfold since its last funding round, achieving positive cash flow and a strong product-market fit across its operational regions.
Product Offering and Impact: Bhanzu offers a suite of experiential math courses designed to enhance cognitive skills among children aged 5 to 16. To date, the platform has reportedly trained over 30,000 students, using a curriculum focused on making math both accessible and engaging. This approach has led to rapid growth in student adoption, with the company positioning itself as a strong competitor to other edtech players such as Cuemath, Unacademy, Adda247, and Skillmatics.
Financial Performance: While Bhanzu’s financials for FY24 are yet to be disclosed, the company’s performance in FY23 demonstrated significant growth, with operating revenue climbing to Rs 47.33 crore—an increase of over 13 times compared to the previous year. However, this growth was accompanied by a rise in losses, reaching Rs 70.99 crore in FY23, reflecting the company’s ongoing investment in product development and market expansion.
Edtech Sector’s Resurgence: The edtech sector has recently witnessed a resurgence, with substantial funding rounds indicating renewed investor confidence. Alongside Bhanzu’s Series B round, notable deals include PhysicsWallah securing $210 million, Eruditus raising $150 million, and upGrad garnering $60 million. This revival suggests a favorable outlook for growth-stage edtech startups like Bhanzu that are capitalizing on specialized niches within the sector.
Bhanzu’s latest funding marks a pivotal step in its journey to become a global leader in math education. With plans to scale in the U.S. and continued success in other international markets, the startup is well-positioned to set new benchmarks in tech-driven, experiential math learning.
