This Week in Deals — March, 2021 (Part 1)

LoEstro Advisors
Mar 16 · 5 min read

Education has embraced the change that the global pandemic brought with it. As new technologies catalyzed the industry, a lot of industry practitioners started to question whether EdTech was going into a bubble. Push forward to March 2021; EdTech businesses are thriving, companies are consolidating, and new technologies continue to emerge.

EdTech businesses that emerged due to the pure need of the hour are now being considered to be an integral part of the education system, as government policies and enhanced infrastructure are fueling the adoption of technology in education.

Between February 08, 2021 and March 13, 2021, India Inc. saw businesses in the K-12 space and their theses being validated by investors across the board. Seven companies raised capital and two were acquired. While the acquisition values were undisclosed, the capital raise equaled $55.6 million. Companies in K-12 raised close to $46.3 million, Higher Education raised about $8.8 million, and Assessment Platforms raised about $1.3 million.

Who Got A Slice?

  1. Leverage Edu (Series A, $6.5 million): Leverage Edu has a platform of over 2,500 personalized mentors and global universities, which helps students through their higher education application process. The round was led by Tomorrow Capital. Existing investors Blume Ventures and DSG Consumer Partners also participated in the round.

Globally, companies which received funding included (i) Avion School (Coding Bootcamp, Income Share Agreement), (ii) KOCO (Digital Library for Assignments, Worksheets, and Assessments), (iii) Fenbi Education (Vocational Education Content), (iv) Class Technologies (Digital Learning Infrastructure), (v) ErudiFi (Education Financing), (vi) Preply (Tutor Marketplace), (vii) SplashLearn (K-12 Online Learning), (viii) Descomplica (K-12 courses), and (ix) Noesis Learning (Upskilling / Reskilling).

In the brick & mortar space, we saw acquisitions of education real estate provider Parmaco by Partners Group and school operator Horizon English School, Dubai by Cognita.

What’s Next?

Years ago, when EdTech had just begun its rise into India’s dark horse, it was solving a lot of surface level problems with companies such as Byju’s helping K-12 students learn faster and more efficiently.

The next wave of EdTech companies will be those which solve grassroot level problems. Look out for companies in the multi-vernacular (Kutuki, Pariksha), teacher-oriented products (Questt), and local-education empowerment (ImaginXP) spaces.

Note: We are not forgetting about Toppr’s multi-million dollar acquisition by Byju’s. We will talk about distress situations, and industry consolidation. But more on that, later.

As India’s trump card EdTech starts this year on a high note, we will end this article by introducing you to India’s next best teachers.

Source: Kutuki
Source: Kutuki
Source: www.kutuki.in

Watch this space for more on Education, EdTech, and everything in between.

LoEstro Advisors

Advisory firm with sharp focus on Fundraise, M&A and Strategic Consulting

LoEstro Advisors

We are an advisory firm with sharp focus on Fundraise, M&A and Strategic Consulting. We are insanely client focused and work in select industries to ensure disproportionate value add.

LoEstro Advisors

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Advisory firm with sharp focus on Fundraise, M&A, and Strategic Consulting.

LoEstro Advisors

We are an advisory firm with sharp focus on Fundraise, M&A and Strategic Consulting. We are insanely client focused and work in select industries to ensure disproportionate value add.