Preply Hits Unicorn Status, Showcasing Ukrainian Resilience
▼ Summary
– Preply has achieved a $1.2 billion valuation after raising a $150 million Series D funding round.
– The company has been EBITDA profitable for a year and is integrating AI to support its tutors, not replace them.
– Preply is actively hiring AI talent and maintains a significant office in Kyiv, Ukraine, despite the ongoing war.
– The company’s Ukrainian team has shown resilience, and the experience has made the organization stronger.
– With its new funding, Preply is now a unicorn and may consider a future IPO, though no concrete plans exist yet.
The language learning platform Preply has achieved a significant milestone, reaching a $1.2 billion valuation after securing a substantial $150 million Series D investment. This latest funding round, led by growth equity firm WestCap, propels the fourteen-year-old company into the coveted unicorn club. Preply has demonstrated strong financial health, reporting EBITDA profitability for the past twelve months while continuing to scale its global marketplace that connects learners with over 100,000 tutors.
A central element of Preply’s growth strategy involves the thoughtful integration of artificial intelligence. The company is navigating a delicate balance, aiming to enhance its service without displacing the human tutors that form its core offering. CEO Kirill Bigai emphasizes that the future of education lies in a human-guided experience amplified by AI. Current applications include AI-powered features for generating lesson summaries and homework assignments, as well as improving the algorithm that matches students with the most suitable tutors. To advance these capabilities, Preply is actively recruiting AI talent across its international offices.
The company’s commitment extends beyond technology to its people, with a particularly profound connection to Ukraine. Although headquartered in the United States, Preply was co-founded by Ukrainians and maintains a significant operational hub in Kyiv. Despite the ongoing war, approximately 150 of the company’s 750 employees continue to work from the Ukrainian capital. The office has been equipped with generators to ensure a reliable supply of electricity, internet, and heat, operating around the clock to provide a safe workspace. Bigai expresses deep admiration for his team’s resilience, noting that the shared experience of adversity has fostered a stronger, more creative company culture.
With this new capital, Preply joins other successful tech unicorns with Ukrainian origins. While there are no immediate plans for an initial public offering, the involvement of WestCap, a firm with notable experience in guiding companies to the public markets, signals a potential future path. The funding will support further international expansion, continued investment in AI-driven learning tools, and the strengthening of Preply’s unique position in the competitive online education landscape.
(Source: TechCrunch)
