Parchment Raises $10M in Follow-On Equity Finance Round to Bring New Ed Tech Products to Market
Leading Technology Company to Expand Consumer Services With New Suite of Credential Tools and Offerings
SCOTTSDALE, Ariz., March 19, 2014-- Parchment, a leading technology company which streamlines the request, delivery and sharing of verified credentials such as transcripts, diplomas and certifications, today announced that it has closed a $10 million follow-on investment, bringing the company total to $45 million raised. The new funds will be used to accelerate Parchment's development of new product offerings, resources and tools for its expansive network, with a focus on meeting growing consumer demand to collect and leverage more of their credentials.
"Parchment's mission is to empower this online-savvy generation to leverage their educational and professional credentials towards new opportunities by using our digital credentials platform and tools," said Parchment CEO Matthew Pittinsky. "We have seen a steady increase in consumer engagement on the Parchment platform, which speaks to the way people want the sharing of their credentials to be facilitated. This influx of capital will help us accelerate our goal of building new services that enhance the user experience."
The addition of capital, led by global merchant bank The Raine Group, with participation from all of Parchment's existing institutional investors, including leading venture capital firm Novak Biddle Venture Partners, comes after a momentous fourth quarter for Parchment. The company facilitated the exchange of more than 1.8 million credentials in Q4 2013 alone, and more than five million credentials over the trailing twelve months, boasting an increase of 59% from year prior. Additionally, the number of new consumer registrations on Parchment services increased by 90% over the same period, jumping from more than 800,000 registrants to nearly 1.6 million.
"We believe in Parchment's digital credentials platform and the opportunities it offers to enhance people's lives," said investor Jeff Sine, founder of the Raine Group. "Parchment's impressive growth in 2013 indicates that they are resonating with consumers and we are confident that this new round of funding, coupled with Matt's rich background in education technology, will further expand Parchment's services to enrich future generations."
"It is a valued opportunity to be able to work with a company like Parchment that is actively changing the way credentials can be managed, shared, and analyzed," said Roger Novak, general partner, Novak Biddle Venture Partners. "Parchment has demonstrated its ability to effectively improve the education technology infrastructure, and its growing network of partners will only enhance its positive impact on the market. We are proud to support Parchment's ability to answer consumer demand through the development of new services and tools."
Led by Blackboard co-founder Matthew Pittinsky, Parchment's platform works with more than 5,500 education institutions and organizations nationwide to provide consumers with a quick, easy and secure way to request, deliver and verify transcripts by bringing the paper-based process online. Currently, consumers can visit Parchment.com and create a profile to share and deliver verified high school and college transcripts and other necessary information and credentials. Beyond sharing and delivering verified transcripts and credentials, the platform's suite of tools allow users to access other useful information about college admissions, such as personalized college searches and weighing the chances of being admitted into a particular school.
The $10 million follow-on funding for Parchment closed in December 2013 and also included participation from Salmon River Capital, GSV Capital and ICG Holdings, Inc.
For more information about Parchment and their partnering education organizations, please visit www.parchment.com.
Parchment is a leading technology company allowing learners, educators and employers to request, verify and share credentials in simple and secure ways. The platform has helped millions of people and thousands of schools and universities to exchange more than 12 million transcripts and other credentials globally. Founded in 2003, Parchment Inc. is headquartered in Scottsdale, AZ, with offices in Roseville, CA, Denver, CO, Grand Rapids, MI, Toronto, ON and Washington, DC. Follow Parchment on Twitter and Facebook.
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