It’s another wave of startup deals in the Nigerian tech ecosystem as PrepClass, a Nigerian EdTech platform, has reportedly raised a “significant” sum of money in a new Series A funding round. The round was backed by American venture capital company, Rise Capital.
While the amount raised was not disclosed, TechPoint reports that insider sources believe the deal could be upwards of $1 million.
— Legit.ng | Leading the way (@legitngnews) July 19, 2018
Founded in 2013, Rise Capital is a global investment firm that focuses on making expansion-stage investments in startups in emerging markets. It raised $100 million capital to execute this adventure. However, the firm has made only one investment in Africa, when it invested in iRokoTV in 2013. So far, all funding the VC firm has participated in has raised no less than $2.5 million.
Insiders are positive that PrepClass could actually have raised close to a whopping one million dollars–an interesting feat for the four-year-old startup.
PrepClass was launched way back in 2014 as an alternative way for students to get connected with excellent tutors online.
“There just had to be a way in which teachers could reach out to students one-on-one using technology, achieving greater impact,“ says Chukwuwezam Obanor, Cofounder of PrepClass. “We started with a decentralized, one-one-one classroom tutoring, using technology to achieve scale, thus PrepClass was born.”
It raised $100,000 in seed funding from Africa Angel Network and Venture Garden following its launch in 2014. And by 2017, the startup was chosen for a $322,000 grant from GSMA Ecosystem Accelerator.
— Sam Ajadi (@sam_ajadi) February 28, 2018
Four years after its launch, the platform now boasts over 22,000 tutors and registered user requests. Nevertheless, PrepClass appears to be in an expansionist mood.
The platform which makes it easy for students to find tutors online is putting in a place a few changes. Over the next coming months, the startup is looking to increase its workforce by up to 60%. To that effect, the company has already relocated to a new wider office Yaba, the tech valley of Nigeria.
The increase in the workforce is reportedly in favour of a new offline approach to scaling the company’s services. Realising that the Nigerian society is still largely offline, PrepClass looks set to test a new group-style tutoring model.
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