Beijing-based education technology startup Yuanfudao said on Thursday that it has secured $2.2 billion from major Chinese and international investors in two recent rounds of financing that it said lifts the company’s valuation to $15.5 billion, reported Reuters.
One round of financing was led by Chinese social media and gaming giant Tencent, with participation from Hillhouse Capital, Boyu Capital and IDG Capital, Yuanfudao said in a statement. Yuanfudao raised $1.2 billion in the round, Reuters has reported.
The new funds mean the startup, which operates live tutoring platforms and online homework services, has doubled its valuation within a year as investors increase bets on a sector that saw a surge of interest after the coronavirus pandemic triggered a migration to online classes. The company said it currently has 400 million users in China.