Inventory of financing in the first half of the education industry: find some stars in the trough

Picture source: Oriental IC

It can be regarded as the watershed in the education industry in 2021. The "Regulations on the Implementation of the Civil Affairs Law" and the "double reduction" policy have been introduced, and the education industry has entered a transition cycle.

After the public information, the blue whale education combined the financing incident of education companies in the first half of the year and found that in 2022, the industry inevitably located in the trough -the secondary market fell into the downturn, and the first -level market was the lively scene of the year. The overall situation of the industry is difficult to speak, but the financing of many companies still makes people see a front line.

Trough

Overall, in the first half of this year, the number and scale of financing in the education industry fell sharply.

According to the statistics of Blue Whale Education, the number of financing in the domestic education industry has reached 59 in half a year. According to IT orange -related data, there are 188 in the same period in 2021. The decrease in financing in the first half of the year is very obvious.

Disassembling monthly, the epidemic may be one of the key factors affecting financing. In May, the epidemic in Shanghai and Beijing repeatedly led to only 5 financing throughout the month. As the epidemic gradually subsided, financing returned to double digits in June.

Not only the decrease in the number of investment financing, the financing quota is also in a downturn. The statistics of blue whale education found that there are relatively few companies with a financing of over 100 million yuan, only 11, accounting for 19%of the total financing number. Most of the financing amount is about 10 million yuan.

According to IT orange data, in the first half of the year, the total financing of the domestic education industry was only 2.433 billion yuan. In 2020, the E+round of financing of the job alone was as high as 1.6 billion US dollars, far exceeding the total amount of domestic education companies' financing in the first half of this year.

From the perspective of financing rounds, the vast majority of financing is A round A and previous, as high as 46 financing below the A and A round, accounting for 61%of the total financing number. There are very few financing of round B and above, with only 13 in total.

In general, the financing industry in the first half of the year has fallen into a trough. The amount of financing is small, the amount of financing is not high, and most of them are financing below the round B. Although this is repeatedly related to the epidemic, and after the policy was densely released last year, the capital was observed in the education industry.

But in fact, the decline of various indicators of the first -level market is not just the factor of epidemic and policies. The period of stretching time, starting from 2019, the number of financing in the education industry has been in the decline channel. Data from IT Orange shows that although the online education station in 2020, the number of financing for the whole year still declines significantly compared with 2019.

The industry trends, black swans, and transitions under the policy ... Multiple factors are superimposed, which eventually leads to the downturn in investment in education companies.

dispersion

Specifically, the most intuitive performance in the last half of the year is the disappearance of the disciplinary off -campus training institutions.

According to the statistics of Blue Whale Education, in the first half of the year of the 59 financing, it basically did not obtain a new round of financing related to the discipline training in the compulsory education stage. Capital is naturally profitable. When facing compliance risks, it is destined to avoid related businesses.

The flow of capital is basically similar to the transformation direction of teaching and training institutions. On the one hand, quality education track is the focus of capital investment. In terms of subdivision, sports education is a relatively popular track choice. K12 sports training service provider Qing Olympic Sports, Youth Sports Service Provider Wuwu Sports, Children's Physical Energy Project Developer Bei Xing Sports, Young Children's Sports Training Platform Bingguo has received financing; in addition to sports education, music and aesthetic education also All institutions have received financing, including Music Technology Company Xiaoye Music Education and Internet Aesthetic Education Platform Art Aesthetic Yunduyun.

On the other hand, 15 institutions of occupations and adult education circuits have received financing. Due to the professionalism of occupations and adult tracks, the types of startups are richer. For example, the state Rui education involved in medical education mainly provides oral vocational education services; the Boshi -Medicine era mainly provides training education education for clinical medical endoscopic application. For another example, IT electronic, IT technology learning service comprehensive provider Geekbang, electronic information professional training solution service provider Langxun Technology, etc., also received financing. In addition, the construction education and training institutions Pu Teng Culture and the driving test training service provider sent the cars, etc., have also been favored by capital.

In addition to these two popular tracks, smart education related industries have also continued attractiveness, and eight institutions have received a new round of financing. Among them, due to the popularity of the Yuan universe last year, startups about related technical services such as VR and AR have been driven by the wind. Focusing on VR, AR applications and adolescent education, VR education solution developer Awell Technology has received financing.

On the whole, perhaps because of the most needed off -campus training facing transformation, it is difficult for other tracks to appear in the short term with high market share. In the first half of the year, the financing industry was no longer concentrated, showing a small and scattered state.

Starlight

It is undeniable that the market gap formed by off -campus training is difficult to fill in the short term. But in the first half of the year, the education industry was not a depression, and you can also see a little starlight.

First of all, among many startups, there are still successful companies, such as the old private education service institutions listed in June this year. As one of the domestic Spanish tutoring service providers, Golden Sun owns three children and adult counseling centers; one cooperation with high school to provide language courses with language courses; and one for the company's schools and counseling centers to provide logistical services for logistical services for the company's school and counseling center company. On the first day of listing, Golden Sun's stock price skyrocketed exceeded 390%, triggering the fuse twice. As of the closing, it rose by 307.5%at $ 16.3/stock. At the end of June this year, Reading Lang listed through the Hong Kong Stock Exchange. On the eve of the listing, Reading Lang also successfully received a cornerstone financing of HK $ 214.4 million. Investors include 8 cornerstone investors including vivo smartphones and Eight Bang International.

These two successful listed companies have shown that the capital market has not been fully closed for the door of the education industry, and startups still have hope.

Secondly, among many financing cases, there are also many institutions that have obtained large financing. For example, infants and young children's education and education service providers love a lot, the Pre-A round has received hundreds of millions of yuan in financing; cognitive intelligent product developers can technology, round A financing exceeds 100 million yuan; middle-aged and elderly online interesting community Hongsong Academy, round B round, round B, round B The amount of financing is over 100 million; the institution that focuses on the development of language and functional development has obtained a $ 30 million round D financing. Although public financing may be suspected of water injection, at least these relatively large financing also reflect the love of capital.

In addition, among many investment institutions, there are also some star capital. For example, I invested in the vivo of Reading Lang; I participated in the digital fitness private education providing platform Lutu Technology, AI companionship Chinese learning platform HOPLOONG Jumping Dragon Financial HKUST Xunfei; Hui Investment; participated in Jingwei Venture Capital, Hongsong Academy, the middle -aged and elderly online interesting community. Capital is still interested in the high -quality subject of education. This may also let the educational industry in the cold winter see a trace of winter.

Judging from the first -level market in the first half of the year, the industry's financing quantity, small scale, and first -richest rounds are mostly, and it is no longer a lively scene. There are few financing, focusing on tracks such as quality, occupation and adults, and smart education. However, you can still see the successful listed companies; the institutions that can see large financing; and also active some star capital, which also allows entrepreneurs to see a little starlight at the bottom of the valley.

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