BLUE SKY DOES ITS SUMS ON TECHNOLOGY

BLUE SKY DOES ITS SUMS ON TECHNOLOGY

BLUE Sky Alternative Investments (ASX:BLA) has stamped the education-technology sector as one to watch after securing a multimillion-dollar stake in ORIGO Education through its private equity division.

ORIGO delivers primary school mathematics solutions tailored to local curricula through a cloud-based learning management system.

The capital investment will allow ORIGO to boost research and development across its existing suite of products, as well as expand its sales and teaching team as it gears up for expansion in the US.

The company has won a number of long-term contracts with school districts in the US over the past two years, with its core product Stepping Stones used by three of the largest 50 school districts. As a result, more than 80 per cent of ORIGO's revenue is generated in the US.

The kindergarten to fifth grade school maths instructional materials market in the US alone is worth $US1.3 billion in revenue each year, according to research by Blue Sky.

Blue Sky Private Equity investment director Lachlan McMurdo says he was impressed with the intellectual property (IP) and scalability of ORIGO's business model.

"ORIGO's founders are sought out by schools and education administrators globally, and they have developed impressive global IP over many years," McMurdo says.

"ORIGO is leading the market in innovative learning and the company's recurring revenue base gives us and our investors a great deal of confidence.

"The key competitive advantage lies in the high quality of ORIGO's products and successful expansion in the massive US market is proof of the global scalability of the business."

ORIGO's suite of products has expanded to student participation materials and sophisticated interactive digital learning products targeted towards the Australian and US education market.
The technology company was established in 1997 by Brisbane maths teachers James Burnett and Dr Calvin Irons.

Burnett says the Australian company was capitalising on a lucrative market that is dominated by large and established players in the US.

"The fact prominent school districts have selected ORIGO's products over other established multinational education publishers has strengthened our reputation in the US and globally," Burnett says.

"We are looking forward to the next phase of growth with Blue Sky's backing."

 

Get our daily business news

Sign up to our free email news updates.

Please tick to verify that you are not a robot

 
The MBA that helped Epic Environmental’s startup employee become GM and partner
Partner Content
Environmental engineer Romin Nejad began his career at Epic Environmental at a challeng...
Queensland University of Technology
Advertisement

Related Stories

PwC gets another rebuke and a penalty from industry body over tax leaks scandal

PwC gets another rebuke and a penalty from industry body over tax leaks scandal

In the latest fallout for PricewaterhouseCoopers Australia from the...

Fintech WLTH acquires Mortgage Mart of Australia after $14m raise

Fintech WLTH acquires Mortgage Mart of Australia after $14m raise

The loan book at Brisbane-headquartered fintech WLTH has ballooned ...

Singapore giant LDC explores $105m takeover bid for Namoi Cotton

Singapore giant LDC explores $105m takeover bid for Namoi Cotton

Namoi Cotton (ASX: NAM) looks set to be absorbed by one of its majo...

Adore Beauty shares surge despite rejecting $122m bid from UK online retailer THG

Adore Beauty shares surge despite rejecting $122m bid from UK online retailer THG

Shares in online beauty products retailer Adore Beauty Group (ASX: ...