The US-based insurance software service provider Ebix has entered India’s e-learning market by acquiring majority stake in e-Smartclass Educational Services Private Ltd (Smartclass) for $8 million.

Smartclass is a leading e-learning company catering to K-12 education sector in India. Under the terms of the agreement, Ebix will pay in cash for its stake buy. Post acquisition, the platform will be integrated into Ebix’s education and e-learning initiatives in India, a statement said.

Robin Raina, Founder Chairman, President and Chief Executive Officer, said that the company has been eyeing e-learning sector in India for long. However, the decision to enter India’s e-learning market was easy given the government’s focus on investing in the e-learning sector in the recent Budget and the fast growth companies such as Smartclass have experienced in India, added Raina. “We have earmarked an investment of $100 million in India’s e-learning sector and the acquisition of Smartclass is a logical first step to establish presence in the country’s e-learning markets,” he added.

Smartclass offers e-learning products and services in an on-demand subscription basis. It provides content in 2D, 3D, virtual reality and animation for accredited school education. Around 500 employees in Smartclass are dedicated to R&D and customer engagement and another 500 in sales and marketing.

Divya Lal, Chief Executive Officer, Smartclass, said the company is excited by the possibilities of growth, geographical reach and financial strength that the investment from Ebix brings to Smartclass. “We look forward to becoming a part of the Ebix family and replicating its international success over the last two decades, to build upon our existing strengths and take a leadership place in India’s e-learning industry,” she added.

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