Edurite set to foray into formal education sector
Bangalore-based Edurite Technologies, provider of technology-enabled education services, is planning to enter the school management space and setting up its own network of schools. TutorVista, an international player in the web-enabled education services segment, which acquired the company in 2007, is expected to assist in Edurite’s expansion plans through a round of funding it is considering.
TutorVista, operates an online tutoring portal catering to the US and UK markets and is learnt to be considering a round of strategic investment for which it is looking at raising $ 12-15 million (Rs 60 crore-75 crore) for its expansion plans abroad as well in India through Edurite. The break-up of fund for both the companies is still being worked-out.
Meena Ganesh, CEO Edurite Technologies said that the company has offered its content and educational services to 3000 schools across the country of which 1500 are government schools. The company targets to manage five schools by the next academic year and will look at setting up its own schools thereafter.
It is expecting to have 50 schools consisting of both managed and owned ones in the next two years. On the back of its expansion plan it is expecting a four-fold growth by next year. 75 per cent of its revenues are from the ICT segment and rest comes from tutorials. The number of education centres is expected to go up from 38 to 55 in the next one year.
The company has just tied up with MacMillan Publishers, part of the worldwide Macmillan (UK) group, to offer visual learning aids for schools in India. Edurite will provide its school education solution DigitALLY while Macmillan will use its network to reach schools in India under its Macmillan SchoolSupport programme.
Rajiv Beri, managing director, Macmillan India said that 85 per cent of the company’s revenues are from the school segment.
The company’s publishing business had a topline of Rs 110 crore in the calender year 2008 with an operating profit of Rs 9-10 crore. It is expecting a 20 per cent growth in the publishing business owing to a number of publishers in the US looking to India for their pre-printing needs.