Cuemath, a global one-on-one online maths tutoring platform, has raised $57 million in a fresh round led by Alpha Wave and hit a valuation of $407 million, a more than twice jump.
The funds will fuel strengthening product-pedagogy outcomes, hypergrowth initiatives, acquisition and partnerships and catalyse its efforts to build a strong global maths brand.
Currently present in more than 70 countries, Cuemath aims to expand to over 100 countries by 2023. This plan includes bolstering its presence in North America, APAC, the UK, Europe, Middle East and capturing markets in Africa and South America.
Industry trends
Vivek Sunder, Cuemath CEO, commented: “Cuemath’s latest fundraise is a significant feat given the present industry trends. Valuations have become more realistic with rationalisation hitting the market; only those growth-stage start-ups with solid business fundamentals can now establish trust with VCs. Therefore, this substantial inbound interest from all our existing investors validates Cuemath as a knowledge expert in the global after-school maths tutoring market and signals acknowledgment of the developments over the past few quarters.
“Cuemath has shown promising growth since the last funding. Product innovation and personalisation coupled with a low Capex model augmented our global scale-up and beefed our conversion rates by 3X. With the best-in-class retention and acquisition engine, we have created a powerful combination of a sustainable and scalable business model.”
Manan Khurma, Founder & Chairman, Cuemath, said: "What distinguishes Cuemath from almost every other edtech company is that we focus on one thing and one thing only - deep maths learning outcomes. In every Cuemath class, the student experiences a powerful and personalised combination of a highly visual maths curriculum delivered by a rigorously-trained, caring teacher. This has enabled Cuemath to have one of the best retention rates in the industry (80%), with half of all new admissions happening via referrals. These industry-leading metrics encouraged all our investment partners to support us yet again in our global maths mission.”
Investor participation
Cuemath’s new funding round is a positive change in the industry, not only in terms of the investment size but also in investor participation. Led by Alpha Wave, this fundraise includes all its existing investors, including Lightrock India, Sequoia Capital India; Alphabet independent growth fund CapitalG; Manta Ray; and Unitus.
Anirudh Singh, MD at Alpha Wave Global, commented: "Cuemath’s ability to successfully deliver outstanding learning outcomes through its proprietary platform and top-tier pedagogy has continued to impress us. Not only in India, its success in key international markets like the US, UK, Middle East, and Singapore, while maintaining high-quality unit economics differentiates the company in a competitive and dynamic EdTech market. High-quality adept teachers addressing a global need for specialised focus on maths tutoring create a strong flywheel effect. We are excited to lead this investment as Cuemath deepens its penetration across global markets." -- TradeArabia News Service
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