Acquisitions in the Education and EdTech Sector in 2023
The following is a summary of mergers and acquisitions transactions in the education and edtech sectors in 2023. We try to update this post every week as we close more deals and learn of other deals that have closed in the sector.
The education and edtech sectors have seen a marked slowdown in activity so far in 2023. This is following a significant drop in valuations in 2022 as edtech companies no longer benefited from the COVID boost. That said, valuations for small, medium, and large edtech companies are back to their normal pre-COVID levels and are still significantly than traditional businesses, with the average valuation for small and medium-sized edtech companies being approximately 3X trailing twelve-month revenue.
Acquisitions in the education and edtech sectors in 2023 so far
UWorld, which provides learning tools to help students prepare for high-stakes tests, has acquired Wiley’s Efficient Learning test prep portfolio.
Vasil Jaiani, a data management company executive, has acquired two interactive educational websites, Visual Fractions and Worksheet Genius.
XL Learning, a provider of a learning resources platform for K-12 students, acquired Teachers Pay Teachers, a marketplace for teachers to sell lesson materials to each other.
Savvas Learning Company acquired Whooo’s Reading, a gamified reading platform driven by AI, for an undisclosed amount.
Atairos, an investment company, agreed to acquire LifeLabs Learning, an edtech platform that provides upskilling programs for managers.
Bain Capital Double Impact, LP acquired Meteor Education, LLC, from Saw Mill Capital Partners. Meteor is the leading provider for the design, delivery, and implementation of modern environments for K-12 schools, operating at the intersection of learning environments and learning experiences.
TPG’s Rise Fund picked up a controlling stake in the Malaysia-based Asia Pacific University of Technology and Innovation in a deal worth $300 million.
Perdoceo, which owns Colorado Technical University and American InterContinental University System, acquired the software engineering bootcamp Coding Dojo for $53 million.
Tutoring provider Paper acquired the college-readiness tool MajorClarity. The terms of the deal were not announced.
The Riverside Company, a global private investor focused on the smaller end of the middle market, has invested in Eduthings, a software solutions provider for Career and Technical Education (CTE) administrators, teachers, and students to track outcomes and monitor overall program effectiveness. Eduthings is an add-on investment to Riverside’s platform, iCEV, a leading developer of SaaS-based digital curriculum, instructional materials, and industry certifications for the CTE market.
Riverside Company acquired Human Element Solutions, LLC (Element H), a provider of live events, video, creative, and digital content solutions that optimize audience engagement within the pharmaceutical, biotech, and medical device/diagnostic industries.
U.S. News & World Report acquired CollegeAdvisor.com, a college admissions platform, from NCSA College Recruiting. The amount was not disclosed.
Study.com, an online learning platform, acquired the tutoring company Enhanced Prep for an undisclosed amount.
Accelerate Learning, a K-12 STEM curriculum provider, was acquired by Providence Equity Partners. The terms were not disclosed.
Imagine Learning, one of the largest digital curriculum providers, acquired Winsor Learning, whose staff will join Imagine Learning. The acquisition was announced as part of a new push into special education. The amount was not disclosed.
MSB School Services, a K-12 special education software provider, was acquired by Craftsman Capital, a private equity firm, for an undisclosed amount.
Thesis, a cloud-based administration software system for higher ed, was acquired by the private equity firm SilverTree. The amount wasn’t disclosed.
The student engagement platform Learning Explorer acquired Mosaic, the assessment system from ACT. The amount wasn’t disclosed.
ParentSquare, a K-12 engagement platform developer, acquired Gabbart Communications, a school communications tool. The amount wasn’t disclosed.
Online program management company Noodle acquired the South African-based Hubble Studios, a digital content developer, for an undisclosed amount.
Edustaff, a K-12 staffing company, announced it received a non-controlling investment from the private equity firm Public Pension Capital.
We will update this post every two weeks as we close more deals in the education and edtech sectors and learn about other transactions.
Read our previous article for information about mergers and acquisitions deals in the education and edtech sectors that closed in 2002.
About the Author and Jackim Woods & Co.
Rich Jackim is an education industry investment banker, educational industry entrepreneur, and former mergers and acquisitions attorney.
For the last 25 years, Rich has been providing boutique investment banking services to middle-market companies in the education sector.
Rich also founded a successful training and certification company called the Exit Planning Institute, which he sold to a private equity group in 2012.
Rich is also the author of the critically acclaimed book, The $10 Trillion Dollar Opportunity: Designing Successful Exit Strategies for Middle Market Businesses.
Jackim Woods & Co offers skilled mergers and acquisitions advisory services to privately owned schools, colleges, and EdTech companies in both sell-side and buy-side transactions. Jackim Woods & Co has arranged over 100 successful transactions, ranging from less than one million to more than eighty million dollars in value.
If you own an education-related business and are interested in exploring your options, I would welcome an opportunity to speak with you. Feel free to contact me at 224-513-5142 or rjackim@jackimwoods.com.
