Research and Strategy for the Education Sector, Schoolhouse Solutions

Edward Slade

Research and Strategy for the Education Sector

Schoolhouse Solutions

Schoolhouse is a strategy and research provider for the Education sector. We publish differentiated reports and bespoke research on the sector, focused on private and public companies in Asia-Pacific. Our team has decades of experience working with Education companies ranging from K-12 to Tertiary and Edtech.

Strategy and Research Provider

Equity Bottom-Up

<ul>
<li>Crizac has had a successful IPO, pricing at 28x PE. </li>
<li>Before any aftermarket premium, the company is already at a significant valuation premium to other global education stocks.</li>
<li>CRIZ has too many risks to justify a high rating. 95% of revenues come from India-UK student placement, aggregating applications for 10,362 agents.   </li>
</ul>


Crizac has had a successful IPO, pricing at 28x PE. 
Before any aftermarket premium, the company is already at a significant valuation premium to other global education stocks.
CRIZ has too many risks to justify a high rating. 95% of revenues come from India-UK student placement, aggregating applications for 10,362 agents.   


Crizac (CRIZ:NS). Sell into the Aftermarket.

Analyst, Schoolhouse Solutions

Daniel Su

Analyst

Thematic (Sector/Industry)

<ul>
<li>The education sector remains resilient despite headline privatisations, with market cap only slightly down to US$142bn after the removal of <a href="https://www.smartkarma.com/entities/powerschool-holdings-inc" target="_blank" data-smartkarma-citation="entities:36946:1" rel="noopener">PowerSchool Holdings (PWSC US)</a> and <a href="https://www.smartkarma.com/entities/instructure-holdings-inc" target="_blank" data-smartkarma-citation="entities:26502:1" rel="noopener">Instructure Holdings (INST US)</a>.</li>
<li>AI disruption is reshaping the landscape, with key players like <a href="https://www.smartkarma.com/entities/chegg-inc" target="_blank" data-smartkarma-citation="entities:10114:1" rel="noopener">Chegg Inc (CHGG US)</a> collapsing while innovators like <a href="https://www.smartkarma.com/entities/duolingo-inc" target="_blank" data-smartkarma-citation="entities:33531:1" rel="noopener">Duolingo (DUOL US)</a> surge, highlighting a potential shift in investor focus.</li>
<li>M&amp;A and IPO activity is reawakening, with <a href="https://www.smartkarma.com/entities/kindercare-learning-cos-inc" target="_blank" data-smartkarma-citation="entities:35721:1" rel="noopener">KinderCare Learning (KLC US)</a> 's IPO, India's robust upcoming pipeline, and renewed private equity interest pointing to a cyclical upturn.</li>
</ul>


The education sector remains resilient despite headline privatisations, with market cap only slightly down to US$142bn after the removal of PowerSchool Holdings (PWSC US) and Instructure Holdings (INST US).
AI disruption is reshaping the landscape, with key players like Chegg Inc (CHGG US) collapsing while innovators like Duolingo (DUOL US) surge, highlighting a potential shift in investor focus.
M&amp;A and IPO activity is reawakening, with KinderCare Learning (KLC US) 's IPO, India's robust upcoming pipeline, and renewed private equity interest pointing to a cyclical upturn.


Valuations, Visas & Venture Pullback: An Equity + M&A Overview of the Education Sector in Q1 2025

Education Sector Analyst, Schoolhouse Solutions

Anik Siwach

Education Sector Analyst

NextEd Group Limited provides educational solutions. The Company delivers industry relevant courses and programs, as well as offers work placement and internship. NextEd Group serves students worldwide.

<ul>
<li>Government hammers the international VET sector:  Government issues tough caps, reducing international students in VET.</li>
<li>Reliance on international students: NextEd will struggle to operate under reduced international student volumes.</li>
<li>Diversification underway: NextEd have been proactive in countering government policy.</li>
</ul>


Government hammers the international VET sector:  Government issues tough caps, reducing international students in VET.
Reliance on international students: NextEd will struggle to operate under reduced international student volumes.
Diversification underway: NextEd have been proactive in countering government policy.


NextEd Group: WOW! NXD Soars 50%, as Nervous Times Loom for Australian Private Education

<ul>
<li>EdTech Market Volatility: Docebo and Tribal Group report significant YTD gains of +27% and +32%, while Janison and LTG Group face steep declines of -59% and -45%.</li>
<li>AI Disruption and Adaptation: Chegg introduces a GPT-style assistant in response to AI challenges, while Duolingo excels with 83.1M monthly users, expanding beyond language tuition.</li>
<li>Shifts in Private Funding: Private EdTech funding declines in 2023, with strategic investors and family offices driving deals, amidst a broader reduction in venture capital investments.</li>
</ul>


EdTech Market Volatility: Docebo and Tribal Group report significant YTD gains of +27% and +32%, while Janison and LTG Group face steep declines of -59% and -45%.
AI Disruption and Adaptation: Chegg introduces a GPT-style assistant in response to AI challenges, while Duolingo excels with 83.1M monthly users, expanding beyond language tuition.
Shifts in Private Funding: Private EdTech funding declines in 2023, with strategic investors and family offices driving deals, amidst a broader reduction in venture capital investments.


Education Sector YTD: Volatility in Public Equities, PE Stalking with Take Private Offers

<ul>
<li>
Agile Response to Visa Changes: NextEd's nimble approach to the end of the COVID-19 408 visa showcases adaptability in uncertain times.</li>
<li>
Tech Sector Growth Potential: Expanding in the thriving tech field, NextEd taps into strong post-study work rights and sector support.</li>
<li>
Regulatory Challenges: Navigating regulatory shifts, NextEd's resilience shines amid uncertainty in the non-university education landscape.</li>
</ul>



Agile Response to Visa Changes: NextEd's nimble approach to the end of the COVID-19 408 visa showcases adaptability in uncertain times.

Tech Sector Growth Potential: Expanding in the thriving tech field, NextEd taps into strong post-study work rights and sector support.

Regulatory Challenges: Navigating regulatory shifts, NextEd's resilience shines amid uncertainty in the non-university education landscape.


NextEd Group (NXD):  Whiplash! Market Reaction to Australia’s Visa Changes Highlights the Risk.