Coursera Inc. and Udemy Inc. have agreed to combine in an all‑stock transaction valued at approximately $2.5 billion, creating the largest online‑learning platform in the world. The merger will bring together Coursera’s university‑backed, credentialed courses and Udemy’s marketplace of instructor‑led content under a single brand that will serve individual learners, enterprises, academic institutions, and government customers.
Under the terms, each Udemy share will be exchanged for 0.800 shares of Coursera common stock, a premium of roughly 26% over the 30‑day average closing price of both companies. After the transaction, Coursera shareholders will own about 59% of the combined entity and Udemy shareholders 41% on a fully diluted basis. The deal is structured to close in the second half of 2026, subject to regulatory review and shareholder approval.
The combined company is projected to generate more than $1.5 billion in pro‑forma annual revenue and to realize cost synergies of about $115 million within 24 months of closing. Both firms have been investing heavily in artificial‑intelligence tools; the merger is expected to accelerate the deployment of AI‑powered learning experiences across the new platform, positioning the company to capture growing demand for skills that support the AI economy.
Coursera’s Q3 2025 earnings showed a 10% year‑over‑year revenue increase to $194 million, driven by a 13% rise in its consumer segment and strong performance of Coursera Plus. The company raised its full‑year revenue outlook to $750‑$754 million, reflecting confidence in continued consumer demand. Udemy, meanwhile, reported flat year‑over‑year revenue of $195.7 million but posted an adjusted EPS of $0.13, a 38% beat over estimates, thanks to a shift toward a subscription‑first model that now accounts for 74% of total revenue. Both CEOs highlighted the merger’s potential: Greg Hart said the deal would “unlock a faster pace of innovation” and Hugo Sarrazin noted it would “accelerate our AI‑powered product roadmap.”
Investors reacted positively to the announcement, citing the attractive valuation, the complementary product mix, and the expected AI synergies. Analysts noted that the deal aligns with a broader consolidation trend in the online‑education sector, where companies are seeking scale, recurring revenue, and deeper enterprise relationships to offset post‑pandemic enrollment headwinds.
The merger represents a strategic pivot for both firms. Coursera’s university partnerships and credentialing will be complemented by Udemy’s large instructor network and subscription model, creating a diversified revenue stream that balances high‑margin enterprise contracts with a growing consumer base. The combined entity will also benefit from shared technology investments, particularly in AI, and from a larger global reach that can accelerate market penetration in emerging economies. The transaction is expected to close in the second half of 2026, pending regulatory approval and shareholder votes.
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