Private equity firm Ridgemont Equity Partners has made a “significant minority investment” alongside TPG’s The Rise Fund to facilitate the acquisition of Teachers of Tomorrow.
The Rise Fund announced a definitive agreement to acquire a majority stake in Teachers of Tomorrow early last month and subsequently joined forces with Ridgemont Equity Partners. Terms of the transaction were not disclosed.
Houston-based Teachers of Tomorrow provides training, certification, and placement services for aspiring teachers, along with professional development resources to support teachers’ careers. The company stated it also works with candidates, districts, talent acquisition teams, and principals to ensure the best talent is placed in the classroom.
Phillip Braithwaite, chief executive of Teachers of Tomorrow, said: “We have experienced incredible growth over the past several years and now have a presence in nine states in our core alternative certification business. We have greatly benefitted from our unique position as a scaled nationwide provider of professional development and test prep resources for educators across thousands of districts. The Rise Fund, Ridgemont, and our team at ToT are all aligned in our vision to create the most rewarding pathway for prospective teachers to enter the profession and the broadest platform for educators to access community and professional development resources. As school districts nationwide struggle to hire and retain teachers, we leverage technology to provide a unique avenue for talented, diverse, and highly-qualified candidates to enter the teaching profession and succeed in their careers.”
Charles Anderson, partner at Ridgemont, commented: “We are excited to partner with The Rise Fund to invest in Teachers of Tomorrow. We have closely followed the company for over a year and believe that ToT, under CEO Phillip Braithwaite’s leadership, has tremendous opportunity for growth as a leading provider of teacher training, certification, and professional development. Teachers of Tomorrow represents Ridgemont’s third platform investment in tech-enabled human capital solutions, all with shared investment themes of leveraging content, digital strategies, and consolidation to meet vocational training, hiring, and educational needs, while driving strong investment returns. We look forward to the next chapter of growth for Teachers of Tomorrow and continuing to address the acute teacher shortage across the country.”
John Rogers, partner and education sector lead at The Rise Fund, said: “The number of teaching candidates is declining, driven by the high cost and time commitment associated with traditional channels, and further exacerbated by Covid. Out of these conditions, alternative certification has steadily grown as the pathway of choice for filling this shortage in many states due to lower costs and a more efficient training format. Through quality instruction and support, Teachers of Tomorrow is providing an opportunity for skilled professionals to make the transition to teaching, which in turn makes a meaningful difference in the lives of their students. Together with the teams at ToT and Ridgemont, we are eager to support the company as it scales to meet these critical hiring needs.”
Houlihan Lokey Capital was financial advisor and Alston & Bird was legal advisor to Ridgemont.
Date published: 14 October 2021