Fulton-based New Markets Venture Partners announced the final close of a venture capital fund focusing on edtech companies.
The $68 million NMEP II will make investments in companies focused on digital learning, learning science, data and analytics, and “pathways to workforce to significantly improve educational and career outcomes,” according to a statement from New Markets.
I'm excited to announce that @NewMarketsVP has raised $68M to invest in the nation's best #edtech #entrepreneurs – thank you @ACT @LuminaFound @stradaeducation for this opportunity to innovate and serve! https://t.co/XupYwiNpfl
— Jason Palmer (@educationpalmer) May 16, 2018
The fund is backed backed by ACT, Strada Education Network and the Lumina Foundation, as well as foundations and family offices. Partners including Mark Grovic, Jason Palmer, Robb Doub and Elizabeth Chou, will be looking to make investments of $1-5 million in Series A, Series B and recapitalization rounds.
“Our expanding team, strategic investors, and the impactful work of our portfolio companies increasingly provides us with a real opportunity to back entrepreneurs working to address skill and equity gaps,” Grovic, a cofounder and general partner at New Markets, said in a statement. “We couldn’t think of more important work to do than helping to scale solutions with the potential to drive sustainable economic mobility.”
Already the fund has made seven investments in companies including Alexandria, Va.–based higher ed text messaging service Signal Vine, San Francisco-based motivational support system Motimatic, New York digital credential service provider Credly, online program manager Noodle Partners and Denver career exploration platform Pairin. The roughly $10 million in investments so far account for about 15 percent of the amount in the fund, according to EdSurge, which first reported the news last week.
Edtech is routinely cited as a strong suit of Baltmore’s startup scene, and New Markets has taken interest in its Maryland neighbors. The firm has previously invested in Baltimore-area companies including Moodlerooms (which was acquired by Blackboard), Straighterline and Calvert Education.