Novakid, an online English school for children, has recently raised $4.25 million in a Series A financing round from a group of US, Asia, and Europe-based investors.
The round was led by a Hungary-based PortfoLion (part of OTP, a leading banking group in Eastern Europe) with participation from LearnStart (part of LearnCapital VC family) and TMT Investments and Xploration Capital. Its seed investors BonAngels and LETA Capital also took part in the round.
Founded in 2017, Novakid provides interactive and engaging online English classes for children aged 4-12 with AI-assisted data extraction and analysis. The platform offers game-based lessons with native-speaking certified teachers using a syllabus that corresponds with the Common European Framework of Reference for Languages (CEFR).
Novakid has students in over 30 countries, focusing on Europe and MENA with major customer base in Poland, Spain, Italy, Turkey, and Russia. All Novakid’s teachers are certified by CELTA, TEFL, TESOL or TKT, and have more than 2 years of teaching experience.
Speaking about the company and its goal, Max Azarow, Co-founder and CEO, Novakid, said,
“Novakid is reinventing English learning for kids in countries where English is not a primary spoken language. It implements a unique format that combines a highly-interactive digital curriculum with individual live tutor sessions for a 100% language immersion. Novakid’s goal is to improve the world via fostering a communication without borders for the 21st century.”
The San Francisco-based company plans to use the proceeds from this round to support its stellar growth by fostering marketing activities and further product innovation.
Aurel Pasztor, Partner at PortfoLion, commented on the funding,
“Novakid attracted investor attention due to its excellent traction, which resulted in over 500% growth year-on-year both in terms of number of students and in terms of revenue. Other attractive points were strong customer retention, international business footprint and a solid monetization via paid subscriptions.”
Don Burton, Managing and Founding Partner at LearnStart, also commented,
“Worldwide, the COVID-19 pandemic has proven to be a turning point for the demand for online language learning, and rapid growth is expected over the next 5 years with CAGR of 11-14%. Novakid offers an excellent alternative to brick and mortar language schools. Its online learning platform is a more attractive product to digitally-native generation of kids, while keeping them and their parents safe.”
Novakid uses its website to conduct classes, and there is no need to install additional programs or buy textbooks. It allows parents to get teachers’ feedback and class videos after each class, to make them always aware of their children’s progress and achievements. During the class, kids and teachers do VR tours around the world’s best museums and art galleries, visit the most famous places of the planet and discuss everything in English.