Australian EdTech company Academy Xi has raised an additional $4.4 million to top up a $9.6 million round for a total raise of $14 million.
The company received the latest funding from new investors including philanthropist Robert McLean, Cuscal chair Bill Conn, and funds manager Milford Asset Management. Previous backers Alium Capital Management, Giant Leap Fund, Pangaea Impact Investments, and Perle Ventures have also participated in the latest raise.
According to the company's Co-Chief Executive Officer Matt Hill, the additional funds will bolster growth through acquisition and strategic partnerships.
Academy Xi was launched in 2016 with a focus on closing the country's digital skills shortage gap amid a shortage of more than 100,000 ICT-related workers in Australia when less than 7000 IT graduates are currently emerging annually. Its focus is to provide job-ready people faster and cheaper than its competitors.
The Sydney-based startup offers courses that are highly practical, employment-driven, and packed with social opportunities. The platform is crafted in collaboration with leading industry practitioners and employers, and it enables users to gain the skills to stay ahead of the industry curve and build a future-ready career.
Commenting on the new funding, Matt Hill said,
"This is an important milestone for the Academy Xi team and signals a new stage of our development as digital transformation and automation are changing the structure of the workforce."
Hill claimed that over the past five years the company has built a portfolio of courses, attracted sector-leading talent, and positioned the business for significant expansion.
Academy Xi's mission is to transform the world through education by empowering a community of changemakers with the skills to create waves of change and build a future-ready career or business. The company claims to have helped thousands of students gain work-ready skills in high-demand disciplines, all from the comfort of their homes, with unparalleled levels of support.
Responding to the latest investment, Milford Asset Management Investment Director John Johnston said they were pleased to back Academy Xi as it sought to transform the traditional learning model and recruitment market. He said,
"This is a great opportunity to invest in a sector worth more than $700 million that is rapidly growing at 8% each year. Academy Xi’s unique offering, demonstrated experience in execution and strong performance are a great fit for Milford."
Academy Xi had previously raised a $2.25 million Series A round in 2017 led by strategic investors Perle Ventures and Alium Capital. Prior to that, the company had raised $250,000 in its seed round in 2016 as it looked to expand into Asia.
In 2018, Academy Xi partnered with incubator Tech Ready Women to launch a $100,000 scholarship fund aimed at encouraging more women to develop and launch a startup. It previously launched an Indigenous scholarship program for UX design.