BEIJING, June 29, 2020 ―Zuoyebang, the largest online education platform in China by users, today announced it has raised US$750 million in Series E funding led by FountainVest Partners and Tiger Global. Other new and existing investors, including Qatar Investment Authority (QIA), Sequoia Capital China, SoftBank Vision Fund, Tiantu Capital and Xiang He Capital, also took part in the funding round.
Zuoyebang, China’s largest K12 online education platform with 800 million cumulative active users, is committed to leveraging advanced technologies to provide inclusive education and eliminate pain points in education. The firm, which offers a range of education products such as Zuoyebang mobile app, Zuoyebang Live Streaming Courses, and Zuoyebang Kousuan, boasts over 50 million daily active users and 170 million monthly active users. The Zuoyebang mobile app is the only education app to be among the top 30 most popular apps in China.
Zuoyebang Live Streaming Courses is the leading live-streaming course brand in China and its customer acquisition cost is significantly lower than the industry average due to its high conversion rate of app traffic into active users. The number of students taking term courses of Zuoyebang Live Streaming Courses soared 400% in the past year, making it the fastest-growing live-streaming course brand in China.
Jianbin Hou, founder and CEO of Zuoyebang, said, “While the development of online education is accelerating, product and service quality will remain our core priority. After this round of financing, Zuoyebang will continue to invest heavily in course services and product research and development to keep creating learning value for users. Meanwhile, we will put more effort to explore new products and business models.”
Frank Tang, chairman and CEO of FountainVest Partners, said, “We are bullish on the prospects of online education in China. Zuoyebang continuously invests in teaching research and technology and has become a leader in the Chinese online education industry. We are delighted to be a shareholder of Zuoyebang, and we look forward to leveraging our industry expertise and network to help the company in its next stage of development.”
Founded in 2014, Zuoyebang is a mobile online education platform for primary and secondary school students in China. It is a comprehensive learning platform encompassing exercise search, live-streaming courses delivered by renowned teachers, real-time mentoring, exercise library and communication. The company’s businesses cover every key aspect of education, such as teaching, learning, testing, exercises and grading. Zuoyebang is one of the top online education brands in China with unparalleled penetration of lower-tier cities with over 60% users of its live-streaming course service from third- and fourth-tier cities.
About FountainVest Partners
FountainVest Partners is one of the most established independent private equity firms in Asia. The firm focuses on long-term investments in industry leaders, partnering closely with management teams to accelerate growth and create value in diversified areas including strategy, operations, finance, and capital markets. FountainVest has completed a number of successful landmark investments globally. Sectors of focus include consumer, media & technology, healthcare, industrials, and financial services. FountainVest manages assets on behalf of world leading public pensions, sovereign wealth funds, and other institutional investors.