US-based private higher education provider Minerva Project has closed its first tranche of series B funding, raising $50m in a round expected to eventually raise $70m.
Tutoring service Tal Education Group invested in the round, which also included venture capital firm Benchmark Capital, private equity firm Yongjin Group and China-based seed fund Zhen Fund. The company raised $25m from Benchmark in a 2012 series A round.
Minerva Project aims to offer an online take on the American Ivy League university experience, providing a higher education programm costing only $10,000, with seminars and classes taking place online.
Funds raised will be used to scale the Minerva schools, and will allow a first full class of around 300 students to begin their courses next Autumn. The remaining $20m is set to be raised in 2015.
Ben Nelson, founder, chairman and chief executive of Minerva Project, said: “Bringing together partners for this round of funding that include one of the most respected, top quality, and innovative education companies with Tal and the most forward thinking technology investors with Benchmark, ZhenFund and Yongjin, is a powerful combination committing to Minerva’s next stage of development.”