GCA becomes part of Houlihan Lokey

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In the US, the scale of the Biden administration’s announced public investment in the education system has secured ongoing headlines and continues to support investor appetite for the  sector

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Sector Report: Education Technology Q3 2021

Contact: Rupert Sadler

EXECUTIVE SUMMARY

  • Q3 2021 saw continued strong momentum in the Education Technology market
  • Three large cap public debuts, with the IPOs of Duolingo ($3.7Bn, language learning platform) and PowerSchool ($3.5Bn, K12 school administrative software), as well as the closing of the TPG Pace/Nerdy SPAC merger ($1.7Bn, online tutoring platform). This pace continued after the quarter end with the $4.0Bn IPO of Udemy (online learning platform)
  • Articulate (online training tools and elearning authoring apps) announced one of the largest Series A rounds ever, raising $1.5Bn from General Atlantic, Blackstone and ICONIQ at a valuation of $3.75Bn. Aggregate growth capital invested into the EdTech sector in Q3 2021 was an impressive $6.28Bn
  • A total of 144 EdTech M&A transactions were announced globally, including multiple large cap transactions such as Anthology/Blackboard (K12 and Higher Ed comprehensive solutions platform) and Platinum Equity/McGraw Hill Education (Tech/Media provider to K12 and Higher Ed)
  • In the US, the scale of the Biden administration’s announced public investment in the education system has secured ongoing headlines and continues to support investor appetite for the sector
  • GCA’s leading track record in the sector continues, with nine EdTech transactions announced in 2021 YTD, including most recently advising CPOMS (student safeguarding software) on its sale to Raptor (K12 safetytechnology) and Eupheus Learning (K12 EdTech platform) on its Series C financing
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