On March 31, 2020, Yuanfudao announced Sweden Phone Number the completion of a new round of financing of US$1 billion. This round of financing was led by Hillhouse Capital, followed by Tencent, Boyu Capital and IDG Capital. Yuanfudao’s post-investment valuation was US$7.8 billion.
This is the largest financing in the education industry so far. After the completion of the transaction, Yuanfudao will also become the most valuable company among the unlisted companies in the education industry.
At the same time, it was disclosed that Yuanfudao’s internal revenue target for this year is 10 billion yuan. If the education industry can find a higher scale, it is only 17 years old, China’s largest offline education and training institution Good Future. In fiscal year 2019, the revenue of TAL Group was about 18 billion yuan.
Although our country has always emphasized reducing the burden on K12 education, with the continuous increase of disposable income of Chinese families, inclusive K12 school education can no longer meet the diversified needs of family education. And this has directly spawned a lot of market demand. Therefore, various K12 educational institutions have emerged as the times require.
Why is the K12 education industry developing so rapidly, we will use the PEST model to analyze the logic behind this.
In February 2016, the Ministry of Science and Technology. The Ministry of Finance and the State Administration of. Taxation included Internet education in the list of the new version of “High-tech Fields Supported by the State. And Internet education enterprises have the opportunity to be recognized as high-tech enterprises and enjoy preferential taxation and other benefits.
In January 2017, the State Council’s “Thirteenth Five-Year Plan for the Development of National Education” pointed out that it is necessary to study and formulate scientific quality standards for primary and secondary school students, make full use of various social science and technology education resources, vigorously carry out science and technology education activities that combine inside and outside schools, and strengthen the education of students. The cultivation of scientific quality, information literacy and innovation ability.