Unacademy announces Rs 50 crore ESOP buyback
The buyback comes as the company undertakes a broader strategic reset amid a prolonged slowdown in the edtech sector following the pandemic-era boom.
- Feb 27, 2026,
- Updated Feb 27, 2026 3:40 PM IST
Edtech startup Unacademy has launched a Rs 50 crore employee stock ownership plan (ESOP) buyback programme to provide liquidity to its workforce, co-founder Gaurav Munjal said.
The buyback comes as the company undertakes a broader strategic reset amid a prolonged slowdown in the edtech sector following the pandemic-era boom.
Announcing the programme on X, Munjal said a select group of employees is expected to receive substantial payouts. Eight employees are likely to earn more than Rs 1 crore each, 17 employees will receive over Rs 50 lakh, and 38 employees are expected to make more than Rs 10 lakh through the buyback.
“Grateful to the board for carving out a cash pool for the employees, even though the valuation is significantly lower than our last fundraise,” Munjal said.
The company will reach out to eligible employees over the coming weeks to facilitate participation in the programme.
The announcement follows Unacademy’s recent clarification on ESOP exercise terms. The company introduced a one-time 30-day window allowing former employees to exercise their vested stock options. However, Munjal had cautioned that the current valuation is below previous funding rounds and that preference shareholders hold priority over equity holders — a factor that could affect realised returns.
Unacademy is currently restructuring its operations as growth in the edtech sector moderates. The company recently decided to move away from company-owned offline learning centres toward a franchise-based model aimed at reducing costs and improving unit economics.
The startup has also explored consolidation opportunities to navigate the challenging market environment.
Recent acquisition discussions with upGrad did not materialise after both companies failed to agree on valuation terms.
For Unparalleled coverage of India's Businesses and Economy – Subscribe to Business Today Magazine
Edtech startup Unacademy has launched a Rs 50 crore employee stock ownership plan (ESOP) buyback programme to provide liquidity to its workforce, co-founder Gaurav Munjal said.
The buyback comes as the company undertakes a broader strategic reset amid a prolonged slowdown in the edtech sector following the pandemic-era boom.
Announcing the programme on X, Munjal said a select group of employees is expected to receive substantial payouts. Eight employees are likely to earn more than Rs 1 crore each, 17 employees will receive over Rs 50 lakh, and 38 employees are expected to make more than Rs 10 lakh through the buyback.
“Grateful to the board for carving out a cash pool for the employees, even though the valuation is significantly lower than our last fundraise,” Munjal said.
The company will reach out to eligible employees over the coming weeks to facilitate participation in the programme.
The announcement follows Unacademy’s recent clarification on ESOP exercise terms. The company introduced a one-time 30-day window allowing former employees to exercise their vested stock options. However, Munjal had cautioned that the current valuation is below previous funding rounds and that preference shareholders hold priority over equity holders — a factor that could affect realised returns.
Unacademy is currently restructuring its operations as growth in the edtech sector moderates. The company recently decided to move away from company-owned offline learning centres toward a franchise-based model aimed at reducing costs and improving unit economics.
The startup has also explored consolidation opportunities to navigate the challenging market environment.
Recent acquisition discussions with upGrad did not materialise after both companies failed to agree on valuation terms.
For Unparalleled coverage of India's Businesses and Economy – Subscribe to Business Today Magazine