EdtechX Holdings, Meten Complete Merger
IBIS Capital-sponsored special purpose acquisition corporation EdtechX Holdings Acquisition Corp. and Meten International Education Group have completed their previously announced merger. The former is the world's first SPAC focused on investing in the education services and education technology industry. The combined entity will be called Meten EdtechX Education Group and will use the ticker EDTX.
Commenting on the announcement, Benjamin Vedrenne-Cloquet, CEO of EdtechX, and Charles McIntyre, Chairman and Chief Investment Officer of EdtechX, jointly said:
“We believe that the closing of these simultaneous transactions during these unprecedented market conditions is a significant achievement. It is testament to the strong fundamentals of the Chinese ELT market, characterized by rapid growth in demand for practical English language learning, and the robust expansion strategy pursued by Meten EdtechX which leverages an efficient omnichannel business model and technology to deliver profitable growth.”
“While the current COVID-19 pandemic continues to affect global economies, it has also created the conditions for accelerated adoption of online education and training globally. This is a trend we expect to continue in the long term.”
In connection with the closing of the merger transaction, EdtechX and Meten completed the private placement of US$ 36 million from institutional investors including $60bn Italian asset manager Azimut and Fortune Global 500 Company Xiamen ITG Holding Group. These investments add to the previous investments into Meten by China International Capital Corporation and private equity funds affiliated with Tsinghua University. EDTX expects the investment to accelerate the expansion of Meten’s ELT offering and its fast-growing digital platform, ‘Likeshuo’, as well as fund potential synergistic and accretive acquisitions in China and internationally.
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