On March 5, Prep, a Vietnam-based online learning platform specializing in standardized language test preparation, announced it had raised $1 million, co-led by East Ventures and Cercano Management.

This funding round will further strengthen Prep’s balance sheet, bringing total funds raised to $2 million, including $1 million from Touchstone Partners in 2022. The new investment will allow it to accelerate its product development and business activities to increase adoption in the market.

“We are thrilled to have support from our investors as we provide accessible quality education in Vietnam and in Southeast Asia,” said Mr. Tu Pham, Founder and CEO of Prep. “We believe this investment will support us in bringing high-quality language courses to students, providing them with the desired language skills to succeed in today’s fast-changing world.”

Prep has grown rapidly since its launch, attracting more than 100,000 users in all cities and provinces in Vietnam and in regional markets. In 2023, it aims to expand its user base to half a million people and have other standardized language test preparation offerings, such as Japanese (JLPT), Chinese (HSK), and Korean (TOPIK). This investment strengthens Prep’s confidence in transforming the future of test preparation and empowering students with the knowledge and skills they need.

According to Mr. Koh Wai Kit, Managing Partner at East Ventures, Prep’s innovative approach to online education and its commitment to providing affordable and effective learning solutions is quite impressive. “With the major potential in the market, combined with the extensive experience of Tu and the team, we believe that Prep is well-positioned to provide quality education in Vietnam and beyond,” he said. “We welcome Prep to the East Ventures family and are excited to be part of their journey.”

Similarly, Mr. MJ Yu, Managing Director of Cercano Management, noted that Covid-19 amplified online education adoption and accelerated the acceptance of digital education among schools, educators, students, and parents.

“We strongly believe that Prep is a category leader within the digital test preparation vertical, with their emphasis on technology, the application of natural language processing tools, and an outcome-oriented approach at their core,” Mr. Yu said. “We see immense scale and potential in the space they are addressing and are excited to embark on this journey with the team.”