The Covid-19 pandemic has led to a surge in online learning that has boosted the revenue of education technology company Coursera.
Coursera
Education technology company Coursera filed its IPO prospectus with the Securities and Exchange Commission on Friday, planning to list on the New York Stock Exchange under the symbol “COUR.”
The company in Mountain View, California, offers individuals access to online courses and degrees from top universities, a business that was booming during the Covid-19 pandemic.
Coursera topped the CNBC Disruptor 50 list several times and was recently number 4 on the 2020 list.
The nine-year-old business generated revenue of about $ 293 million for the year ended December 31, a growth rate of 59% from 2019, according to the submission. Net losses increased by approximately $ 20 million annually and reached $ 66.8 million in 2020.
“Our revenue has increased significantly due to an increase in enrollment during the Covid-19 pandemic,” the company’s IPO prospectus said. “We have also seen a significant increase in our operating costs associated with our services, driven primarily by our freemium offerings and marketing efforts. As the pandemic has made telework and online learning more widespread, it is not certain what impact the reduction of the Covid does not have. -19 could have a pandemic on our operating results. ‘
The company said it added more than 12,000 new graduate students during the two years ended December 31, 2020 at an average acquisition cost of less than $ 2,000.
The total number of registered users increased by 65% in 2020.
According to PitchBook data, Coursera was recently valued at $ 2.5 billion.
The company was founded by former professor of computer science at Stanford University, Daphne Koller and Andrew Ng. When Coursera was founded in 2012, both spent enough time in higher education to realize that change was in arrears and that online learning was a good way forward.
As of December 31, 2020, more than 150 universities had offered more than 4,000 courses through Coursera, offering more than two dozen degree programs at rates lower than many personalized school offerings. A bachelor’s or master’s degree completed by Coursera can range from $ 9,000 to $ 45,000, according to the prospectus.
During the pandemic, Coursera also partnered with more than 330 government agencies in 70 countries and 30 U.S. states and cities as part of the Coursera Workforce Recovery Initiative, which helps governments provide unemployed workers with free access to thousands of courses for business, technology and data. scientific skills of companies, including Amazon and Google.
It also offers a wide range of teaching certificates and professional skills courses ranging from as low as $ 9.99 to $ 99.
“While the impact of the ongoing Covid-19 pandemic is severe, widespread and still evolving, it has accelerated the need for education delivered online. Both individuals and institutions continue to trust and rely on online learning to navigate change and disruption,” Reads the company’s IPO prospectus.
The number of shares and the price range for the proposed offer have yet to be determined. Morgan Stanley, Goldman Sachs and Citigroup are listed as the main underwriters.