Iraqi edtech Eduba acquired for seven-figure amount by major telecommunications conglomerate

A major telecommunications conglomerate has acquired Eduba, an edtech startup, for an undisclosed seven-figure sum, Tajarib announced this week.

The announcement occurred during a Tajarib episode that was aired on Tajarib’s various social media platforms as well as the Iraq 24 TV channel.

Originally developed as a school management app, Eduba was established in Baghdad in 2019 by Azad Hassan, Haider Shaaban, and Raed Kadhem. The startup’s success was demonstrated by the fact that it was one of the few to be accredited by the Ministry of Education and that private schools adopted it extensively.

A significant transformation to benefit all education stakeholders, from kindergarten to K–12, had begun to be planned by Hassan and his team. Although there were already specialized dashboards for educators, learners, and parents, Eduba’s team wanted to make the platform a super app. With the addition of a comprehensive learning management system, communication tools, fintech solutions, and ride-hailing services, this evolution would provide a centralized solution to meet the needs of all stakeholders.

Eduba’s team initially sought to achieve their goals by raising capital through equity funding with investors, only to hit a brick wall. “Most capital is not interested in equity investment or partaking in fundraising; they aim to take complete control of the business,” Azad commented. “Entrepreneurs are left with few options, often conceding significant value.”

The entrepreneurial scene in Iraq does, in fact, share this sentiment. When they try to raise money through equity to support growth and sustainability, many Iraqi founders run into investors who prefer ownership to collaboration.

Nonetheless, Eduba’s investment path became a template for new businesses looking to raise capital. When the startup’s team approached several businesses to present its potential, two well-known Iraqi tech behemoths responded favorably. These exchanges prepare the ground for a bidding procedure.

In the ensuing discussions, topics covered included market expansion, strategic alliances, product placement, and integrations with the acquirer’s current portfolio. After much deliberation, a seven-figure acquisition agreement with a significant ISP conglomerate was reached.

Given Eduba’s growth and the ISP’s vast infrastructure, we think that significant synergies are in the works.

The complete integration of Eduba’s team and app guarantees that the startup’s capabilities are now a part of a broader strategy, encouraging market expansion, scalability, and innovation as the ISP broadens its reach throughout the industry.