CUET: A New Growth Opportunity – Investor Update

New Delhi, 30 March 2022: The Common University Entrance Test (CUET) plan, finally activated by the central government, opens up a potentially large opportunity for Test Prep companies, including CL Educate.

CUET will be the mandatory admission test for universities established under an Act of Parliament and are under the control and purview of the Ministry of Education, Government of India. In 2009, Parliament passed the Central Universities Act, which paved the way for the creation of 16 Central Universities in addition to the existing ones, to give representation to all states. The number of Central Universities has since crossed 50.

As of now, it is estimated that around 1,80,000 seats at the Central Universities under various disciplines at the undergraduate level will be available via CUET. The admission to most of these universities was so far done based on Class XII marks. To put this into context, the IIT JEE exam, which is used to fill up 10,000 seats in the IITs and 13,000 odd seats across other allied universities sees in excess of 10 lakh test takers annually.

The CUET process has started, application forms need to be submitted in April. The exam itself willbe held in July’22.

CL Educate, through her consumer-facing popular Test Prep brand Career Launcher, has launched a range of omni-channel courses, priced between Rs. 12,000 to Rs. 30,000. It has also separately launched a Test Series option at an affordable Rs. 4,000.

From next year, the lead time to the tests is likely to be longer, allowing Test Prep companies to offer longer duration courses as well. Private universities may also gradually start adopting CUET going forward, expanding the appeal and relevance of the exam.

Section 3 of the CUET exam is an aptitude test, which is an area of strength of CL Educate. The examination will be a computer-based, multiple-choice test, much like the CAT exam for MBA entrance,or the CLAT exam for law for which Career Launcher is a market leader.

More information can be found at https://www.careerlauncher.com/cuet/

Team Corporate Communications
CL Educate Ltd.