Venturi Partners has made a significant move in the education technology sector by acquiring a stake worth $27 million in K12 Techno Services from Navneet Learning LLP, a subsidiary of Navneet Education Limited. This development marks the second secondary round in K12 Techno within the past eight months, underlining the growing interest in the company.
In a recent stock exchange filing, Navneet Education Ltd disclosed its decision to divest a 5.12% stake in K12 Techno for $27 million while retaining a 14.35% stake in the firm. This transaction approximately values the Bengaluru-based company at $540 million. Venturi’s investment, sourced from its $180 million maiden fund, joins the ranks of K12 Techno’s existing shareholders, including Peak XV Partners, Kedaara Capital, Sofina Ventures, and Navneet Learning LLP.
Led by CEO Jai Decosta, K12 Techno operates Orchids International Schools and offers a comprehensive suite of education, content, and technology services to over 900 educational institutions nationwide. Under the ‘ Orchid ‘ brand, the company’s management services cater to ICSE and CBSE curriculum schools from kindergarten to XII, primarily in major cities like Bengaluru, Mumbai, and Gurugram.
K12 Techno boasts a significant footprint in the Indian K-12 education space, serving over 300,000 students with its brand, content, and technology. The company has reported a remarkable growth rate, with a compounded annual growth rate (CAGR) of 40% over the last five years.
This investment follows K12 Techno’s previous funding round in September, during which Kedaara Capital made a substantial investment against a significant minority stake in the company, facilitating a partial exit for Peak XV Partners (formerly Sequoia Capital India).
With this infusion of funds, K12 Techno is poised for further expansion and innovation in the education technology sector. Venturi Partners’ investment in K12 Techno aligns with its portfolio strategy, focusing on consumer-focused investments in India and Southeast Asia. K12 Techno joins Venturi’s portfolio alongside other prominent names like Livspace, Country Delight, Believe, Pickup Coffee, and DALI.
The investment not only underscores investors’ growing interest in the ed-tech space but also reflects the potential for technology-driven solutions to transform the educational landscape in India. As K12 Techno continues to leverage its expertise and technology to enhance learning experiences, this partnership with Venturi Partners marks a significant milestone in its journey towards becoming a leader in the education technology domain.
