E & T – SIG Presentation to - TiE, Delhi K.Ganesh [email_address]

Evolution Roadmap & Structure 2006 2007 2008 2009 Feb 2006, Series A Funding 2.1 MM $ $ 16 mn primary funding by Sequoia, Light Speed Ventures, MEMG 6 fold increase in subscriber base for online tutorials Acquired Edurite as part of India strategy Expansion of Edurite Formation of Manipal K 12 venture Launched Edurite Tutorials Series C funding led by Pearson , MEMG $ 19 MM Joint Venture in Nepal Start of first school in Mysore Achieved Unit profitability in TutorVista.com Set to scale Achieved significant scale within a short span : 300,000 registered users Operations in US, UK, Korea 500+ tutors across 29 cities 1,000,000 tutoring hours/year Scalable tutoring platform 3 years 1400 employees $ 38 MM = RS 200 crores Raised Marquee names – Pearson ,Manipal, Sequoia, Lightspeed

Feb 2006, Series A Funding 2.1 MM $

$ 16 mn primary funding by Sequoia, Light Speed Ventures, MEMG

6 fold increase in subscriber base for online tutorials

Acquired Edurite as part of India strategy

Expansion of Edurite

Formation of Manipal K 12 venture

Launched Edurite Tutorials

Series C funding led by Pearson , MEMG $ 19 MM

Joint Venture in Nepal

Start of first school in Mysore

Achieved Unit profitability in TutorVista.com

Set to scale

Achieved significant scale within a short span :

300,000 registered users

Operations in US, UK, Korea

500+ tutors across 29 cities

1,000,000 tutoring hours/year

Scalable tutoring platform

3 years

1400 employees

$ 38 MM = RS 200 crores Raised

Marquee names – Pearson ,Manipal, Sequoia, Lightspeed

Manipal K-12 – India Focused 8 years of successful experience in the e-learning domain: Digitally - classroom educational software used in schools 3,000 school relationships Soon 100+ tuition centers Schools and school management 250+ creative artists, multimedia programmers, graphic designers, content Investment from Manipal – India’s largest educational company Educational/multimedia content creation 100s of schools run on Edurite content Animations, Simulations, Videos Brick and mortar tutoring centers Schools and school management Custom Content Development capability TutorVista – US focused Fastest growing Online Tutoring company Served over 500000 students till date 1400+ Tutors across 92 Cities in India Deliver more than a million hours of tutoring every year Scalable Tutoring platform Low customer acquisition cost Investment from Pearson Understanding of Tutoring Business Tutor Hiring, Training, Certification, Retention Remote Tutor Management Remote Session Management Automated Scheduling Feedback Loop Management Leading Educational Company in US and India Access to fraternity of teachers and very good understanding of curriculum Capabilities Capabilities

8 years of successful experience in the

e-learning domain:

Digitally - classroom educational software used in schools

3,000 school relationships

Soon 100+ tuition centers

Schools and school management

250+ creative artists, multimedia programmers, graphic designers, content

Investment from Manipal – India’s largest educational company

Educational/multimedia content creation

100s of schools run on Edurite content

Animations, Simulations, Videos

Brick and mortar tutoring centers

Schools and school management

Custom Content Development capability

Fastest growing Online Tutoring company

Served over 500000 students till date

1400+ Tutors across 92 Cities in India

Deliver more than a million hours of tutoring every year

Scalable Tutoring platform

Low customer acquisition cost

Investment from Pearson

Understanding of Tutoring Business

Tutor Hiring, Training, Certification,

Retention

Remote Tutor Management

Remote Session Management

Automated Scheduling

Feedback Loop Management

Key Investor Questions K.Ganesh Will I get an exit ? Will the business scale? How large is the canvas ? What are the barriers to Entry? Life style play or a VC play ? Is some sectors too late to enter & some others too early ? When do I enter ?- early , medium , late stage ? What is the driving force ? Need answering GREED

Will I get an exit ?

Will the business scale?

How large is the canvas ?

What are the barriers to Entry?

Life style play or a VC play ?

Is some sectors too late to enter & some others too early ?

When do I enter ?- early , medium , late stage ?

What is the driving force ?

Key Entrepreneurs questions K.Ganesh How do I scale up – first two marquee clients to showcase ? Where to start – horizontal or vertical ? Where do I get the first round funding ? How do I keep getting capital required to expand ? What is the CSF for a successful take off ? How do I compete with the ‘biggies”- scale , balance sheet? How do I get to play ? Opportunity

How do I scale up – first two marquee clients to showcase ?

Where to start – horizontal or vertical ?

Where do I get the first round funding ?

How do I keep getting capital required to expand ?

What is the CSF for a successful take off ?

How do I compete with the ‘biggies”- scale , balance sheet?

Business Models in Education and training K.Ganesh Large sector with multiple business models - Handful of stellar successes but huge potential , latenet demand Existing companies serve only a fraction of the need - Low penetration , hence large unfulfilled demand Education is no.2 spend of the household in India - High propensity to spend and a large population Highly localized and challenging to scale , standardization - Cookie cutter approach Geographical diversity - Partnership models for reach , franchisee Regulatory framework - for profit issue Variety of models Jury is out on most of them

Large sector with multiple business models

- Handful of stellar successes but huge potential , latenet demand

Existing companies serve only a fraction of the need

- Low penetration , hence large unfulfilled demand

Education is no.2 spend of the household in India

- High propensity to spend and a large population

Highly localized and challenging to scale , standardization

- Cookie cutter approach

Geographical diversity

- Partnership models for reach , franchisee

Regulatory framework

- for profit issue

Variety of models

Jury is out on most of them

My thoughts on workable models K.Ganesh Be clear about need for funds and how it will bring hockey Stick effect Show scalability by use of funds , not for WC Clearly articulate your “Right to Win” vs others Show global successes if Indian examples are absent Bring in geographical diversity Move to end-to end solutions from point services Scale is key Establishing initial base de-risking infant mortality

Be clear about need for funds and how it will bring hockey

Stick effect

Show scalability by use of funds , not for WC

Clearly articulate your “Right to Win” vs others

Show global successes if Indian examples are absent

Bring in geographical diversity

Move to end-to end solutions from point services

Scale is key

Establishing initial base

de-risking infant mortality

It is the best of the times & worst of the times K.Ganesh Much of the market cap yet to be created Lots of open areas for new entrants Concept proven & established success stories One of the very few attractive sectors today ! Nascent industry with mature challenges Huge potential Strong value proposition

Much of the market cap yet to be created

Lots of open areas for new entrants

Concept proven & established success stories

One of the very few attractive sectors today !

Huge potential

Strong value proposition

K.Ganesh Thank you ! K.Ganesh [email_address]