Despite weakness in the global economy, some sectors do outperform the market in turbulent times. The education industry, in particular, is currently highly fragmented and poised for tremendous growth in the coming years. Momentum has gained from the increased recognition of the benefits of early childhood education, the growing importance of accountability and education reform in the K-12 sector, and the increasing realization of the impact of education on lifetime earnings potential.

Current legislation has directed substantial funding to education programs, encouraging educators to be innovative with curriculum assessment and instruction. It is clear that the expansion of this market is highly dependent on developments that enable distance learning, online collaboration, and efficiencies within school infrastructure.

Technology is the key to this innovation in the education sector. Arbor is uniquely positioned to advise growing technology companies on their vision to substantially impact the education sector.

Deal Activity in Today's Education Market

Despite the economic downturn, Arbor's contact with leading strategic investors and private equity firms indicates strong interest for education deals in 2009.

Arbor's expertise in working exclusively with technology-enabled companies puts us in a unique position to advise growing education companies. Our experience with growing education companies include but are not limited to those in the following areas:

• Infrastructure / School Management Software
• E-learning
• Collaborative environments
• Testing & Assessment
• Tutoring & Afterschool Markets
• For-Profit Education
• Career training and other businesses