Mind Shaper Technologies, a provider of educational content under the brand Classteacher Learning Systems, expects to tie up $40 million of private equity (PE) investment in the next three months. The company develops digital educational content for the so-called K-12 segment that encompasses school children studying in kindergarten to class 12.
“We are in talks with private equity investors who will be picking up a minority stake in the company,” Sameer Buti, co-founder and director of Mind Shaper Technologies, said without naming the potential investors.
The money will largely be used for product development, marketing and sales promotion of teacher learning products, he said.
Around 55% of venture capital and PE firms in India consider education an attractive sector and plan to make investments of around Rs.4,500 crore by 2014, says a survey conducted by the Associated Chambers of Commerce and Industry of India in July 2011.
Twenty-three deals amounting to $193 million took place in 2010 in the education segment, compared with 10 deals worth $128 million in the previous year, according Kaizen Private Equity.
Founded by Rohit Pande and Buti, Mind Shaper is working with more than 500 schools and about half a million students, providing consulting and technology solutions.
Fidelity Growth Partners India invested $15 million to acquire a minority stake in the company in July.
Source: Livemint