zSpace, a provider of educational technology, has announced its plans to launch an initial public offering (IPO) in order to raise $15 million. Headquartered in San Jose, CA, the company intends to offer 3 million shares at a price range of $4.50 to $5.50, resulting in a fully diluted market value of $128 million. The IPO, under the symbol ZSPC, will be listed on the Nasdaq and is being managed by Roth Capital and Craig-Hallum Capital Group.
The company specialises in offering augmented reality (AR) and virtual reality (VR) technology solutions for the education sector, with a focus on K-12 and Career & Technical Education (CTE) markets in the US. Its primary offering is a proprietary hardware and software platform that provides an interactive, stereoscopic 3D learning experience without the need for VR goggles or special glasses. zSpace’s K-12 platform is currently in use in over 80% of the largest 100 K-12 public school districts in the US, with its CTE solutions deployed in approximately 73% of the public school districts it serves.
Established in 2006, zSpace reported a revenue of $44 million for the 12 months ending on March 31, 2024. This strong financial performance and widespread adoption of its educational technology solutions indicate a promising future for the company. With the increasing demand for innovative learning tools, zSpace is well-positioned to capitalize on the growing interest in AR and VR technology in the education sector.
With the IPO underway, zSpace aims to strengthen its position in the education technology market and expand its reach in the US and beyond. This strategic move not only demonstrates the company’s confidence in its offerings but also signifies its commitment to advancing learning experiences through state-of-the-art technology. Consequently, investors and industry observers are closely monitoring zSpace’s journey and eagerly awaiting the impact of its IPO on the education technology landscape.