K-12 Dealmaking: Chegg Acquires Language Learning Platform; Startup MindX raises $3M
Textbook and tutoring company Chegg is acquiring a leading language learning platform to expand its offerings into different languages.
The company announced it will acquire Busuu, a UK company, for approximately $436 million in an all-cash transaction.
Founded in 2008, Busuu offers courses in a dozen languages and serves more than 500,000 paying subscribers, according to the company. Last year, the company added live tutoring, including group and one-on-one sessions with a language teacher.
The acquisition will allow Chegg, a California-based company, to “expand our business while also adding tremendous value to our existing users,” said President and CEO Dan Rosensweig in a statement.
Chegg expects Busuu’s 2021 revenue to reach $45 million with year-over-year growth greater than 20 percent, according to the announcement.
“Busuu has developed its own curriculum, regularly measures its efficacy, and has a community who support each other to reinforce learning,” said Chegg President of Learning Services Nathan Schultz in a statement. “Like Chegg, they understand the value of on demand, self-paced courses, aimed directly at learner needs, and they have shown the ability to deliver at scale.”
Another notable acquisition for Chegg was in 2018, when the company expanded its content offerings by purchasing the online studying platform StudyBlue for $20.8 million.
Ed-tech startup MindX raises $3 million. MindX, a technology school startup, raised $3 million in a Series A funding round lead by the venture capital fund Wavemaker Partners.
The round also saw the participation of Thien Viet Securities Company and Beacon Fund.
The startup, founded in 2015, offers computer programming courses for K-12 students, as well as workers, with a goal of helping them secure jobs at technology companies in Vietnam, Singapore and other countries after graduation, according to the announcement.
“MindX is addressing a clear need amid a growing shortage of software engineers in Vietnam and the region,” said Gavin Lee, a principal at Wavemaker Partners, in a statement.
The company has served more than 25,000 students in both online and offline programs.
Seoul-based startup gets investment from Google. Mathpresso, the company behind the AI-powered mobile learning platform QANDA , has added Google to its list of investors.
The two companies “see synergies supporting students’ comprehensive digital learning experiences on a global scale,” Mathpresso said in an announcement.
Since 2017, the QANDA app has used AI to recognize text and mathematical formulas in photos, then provide detailed solutions and personalized learning content. Earlier this year the startup also added a subscription model with video lectures and a community feature.
More than 10 million photos are uploaded to QANDA daily, according to the company.
The investment amount was not disclosed, and comes months after the company raised $50 million in a Series C funding round in July. Existing investors include Yellowdog, GGV Capital and Goodwater Capital.
Follow EdWeek Market Brief on Twitter @EdMarketBrief or connect with us on LinkedIn.
See also:
- Pearson Files Lawsuit Against Ed-Tech Company Chegg, Alleging Improper Lifting of Content
- K-12 Dealmaking: PowerSchool Acquires Behavioral Management System; ETS Takes Majority Stake in Kira Talent
- K-12 Dealmaking: Imagine Learning Acquires Virtual Robotics Provider; DreamBox Sees New Majority Investor
- Digital Curriculum Provider Weld North Rebranded Under Imagine Learning Name
- K-12 Dealmaking: Weld North Education Acquires Digital Science Curriculum; Tutoring Startup Raises $100 Million