Paris-headquartered Educapital, a venture capital firm dedicated to investments in the ed tech sector, has held a €100 million first closing for its second fund.
The vehicle has a €150 million target and is expected to reach a final close by the end of the year. It has already collected more than double the capital of its predecessor, Educapital 1, which was launched in 2017.
Educapital 2 plans to build a portfolio of 20 European ed tech startups, deploying equity tickets of up to €10 million in late seed to series B rounds. The vehicle targets companies that aim at innovating the education sector, from early childhood to vocational training.
Educapital 2 has built a wide base of LPs, achieving a high re-up rate. Among the firm’s previous investors that committed to this second fund are publishing companies Hachette Livre and Bayard, as well as Education for the Many, the investment vehicle of the Leclercq family.
Bpifrance also committed to the vehicle via both its own funds and Edtech Fund of Funds, a vehicle sponsored by the French state and managed by Bpifrance as part of France 2030.
Educapital 2 also attracted new investors, including Les Editions Francis Lefebvre, the Jacobs Foundation, UMR, BNP Paribas Innovation, Arkea and Matmut Revital Emploi.
Founded in 2017, Educapital is led by two female partners, Marie-Christine Levet and Litzie Maarek. According to the firm, 40% of Educapital’s portfolio companies are also founded or cofounded by a woman.
Levet said: “Innovation enables education to be accessible to the widest audience, to be personalised and relevant lifelong, and to meet the needs of the younger generation and the world of work. We are only at the beginning of this revolution in education: the market is estimated to be worth $500 billion by 2025.”
Over the last four years, Educapital has invested in 22 European startups, building a portfolio of companies that have collectively raised more than €500 million.
Educapital has also recently completed two exits: higher education app Lalilo, which was sold to Renaissance in March 2021, and student engagement platform AppScho, which was purchased by Ready Education in December 2021.
Date published: 29 March 2022