The deal has marked Everest Education's first institutional financing following its $1-million funding round made by individual investors in 2016.
Proceeds from the round will be used to finance the development of Everest Education’s learning centres to reinforce its position in the academic after-school segment.
Founded in 2011, Everest Education now has seven learning centres in Ho Chi Minh City. It seeks to transform education in Vietnam by personalising learning and preparing students academically and mentally for an international education.
The education startup offer Math and English enrichment courses, as well as tutoring to students from Grade 1 to Grade 12 using proprietary blended learning approach.
According to Henry Lee, managing partner at Hendale Capital, Everest has the potential to make a significant impact in the rapidly expanding supplemental education space in the country.
“Vietnam’s 17 million K-12 student population is a large market, where people spend up to 40 per cent of their disposable income on education, yet there is unequal access to high quality education,” said Pho Pham, managing partner at Viet Capital Ventures.
The local education sector has recently become a focus for various venture capital and private equity investors. Some of the deals sealed include Navis Capital Partners Limited taking over Ho Chi Minh City-based private education platform Thanh Thanh Cong Education JSC or Kaizen Private Equity injecting $10 million in YOLA Education.