Who are the largest players in the EdTech and broader Education/Knowledge space? Some bigger-ish names I've got are Providence, Riverside, Vistria, Leeds and maybe Veritas? Is it basically just these guys plus a bunch of LMM buyout funds?
| +72 | Does anyone believe their firm has a true competitive edge | 36 | 6h |
| +42 | Lateraling at senior associate / VP level | 11 | 2d |
| +23 | Imposter Syndrome: PE to Publics | 4 | 13h |
| +23 | Do you regret doing PE? | 17 | 2h |
| +23 | Ares buying LGP...now what? | 6 | 1h |
| +14 | Do PE VPs Always Have An Associate Under Them? | 5 | 1d |
| +14 | Setting the right LBO entry multiple without information | 3 | 2d |
| +12 | GTCR vs BDT MSD vs MDP | 9 | 6h |
| +12 | Francisco Partners Fundraise | 6 | 5h |
| MBA to EM Infra Investing? | 3 | 17h |
Career Resources
Get instant access to lessons taught by experienced private equity pros and bulge bracket investment bankers including financial statement modeling, DCF, M&A, LBO, Comps and Excel Modeling.
Education and edtech are smaller markets with only a few assets of scale so there are usually not enough deals to become a single large PE firm of scale in the space (unlike SaaS/enterprise software, for example):
Certainly Providence (Blackboard) and Veritas (Campus Mgmt, Edcentric) as you mention. And Leeds is a rare education only PE firm (doubt they will remain this specialized if they grow larger).
Smaller names of note: Quad-C, LLR, Golden Gate (Learning Experience)
You could also get into growth equity firms/arms of megafunds here and foreign education assets (esp in Asia): Warburg (Inspired, Aixuexi), GA (Ruanguru, Open Classrooms), KKR NGT (KnowBe4), Bain Cap Double Impact (PresenceLearning, Penn Foster) but that is likely too long a list.
Immensely helpful, thank you so much!
Above list is great, SB’d. One name I’ll add is Renovus Capital, founded by ex-Leeds guys.
Lol - downvote me into oblivion, but Blackboard is (was) probably the worst run EdTech company in the world. Providence has made some moves to help them restrike and I hope they get a decent return, but wow! Just look at the story around why Instructure was founded to see what I mean
This is an ignorant answer. You’re neglecting the fact that Blackboard was dominant for a long time. There are complete and total “generational” differences between these companies.
Blackboard was the v1 and Instructure was the v2. The biggest difference was cloud vs. on-premise capabilities. Blackboard was circumstantially on its heels in having to manage a full on-prem to cloud transition.
There are a number of players competing to be the v3 currently.
OP here is right. Blackboard has been a terrible outcome for Providence, who has it held way below cost despite everything they've tried to do to turn it around.
Other than the ones already listed, you'll see Quad Partners a lot in the lower mid-market PE space. They solely focus on education/EdTech.
Lots of growth equity funds have been active in EdTech. Some examples: Insight (Nearpod, Turnitin, Achieve, Illuminate), JMI (CampusLogic, Schoology), Spectrum (ExamSoft, Teachers Pay Teachers, DataCamp), Summit, LLR Partners
On the venture side, Owl Ventures is a well-known fund that's 100% focused on EdTech.
For Growth, JMI also has Raptor.
On the LMM side, Riverside is very active in education.
On Venture, you also have Learn, Reach, GSV, and Rethink Education.
Adding Veronis Suhler Stevenson (VSS) on the LMM side
Forgot to mention TCV who has been very active (Newsela, Watermark, Varsity Tutors, Rave Mobile Safety)
Anyone know how staffing works at Vistria? Can you choose to "specialize" in either education or healthcare?
Anyone heard of Avathon Capital out of Chicago? Heard their parent, Sterling Partners, had a history of lawsuits and underpaying associates.
Avathon has very few LPs and is completely independent from Sterling (no longer Sterling Education Opportunity Fund). They are good people there.
Anyone have recommendations on edtech news sources, particularly those that revolve around edtech investments / the business side of edtech? I have found PhilOnEdTech helpful as they've done a decent job explaining the LMS market & trends, most notably the Thoma Bravo/Instructure deal. Any others would be appreciated - interested in sources that either come at it from a TMT investment angle that include some edtech or those that come at it from the ed angle with a business perspective
GSV's Daily Edtech News to Knowledge (N2K)
It's the best one hands down, not even a question for people who are focused on this
.
In addition to all the names above, New Market Venture Partners, Lumos Capital, and Firework Ventures are all in the game as well.
Officia nam fuga aut nihil asperiores sit. Vitae sit repellendus cum est facere dolor illum nisi. Et et et aliquam.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...