Capstone Headwaters Reports: Digital Learning Tools Pivotal in Pandemic

August 20, 2020

Boston, MA – Capstone Headwaters released its Education Technology Coverage Report today, reporting that the COVID-19 pandemic has ignited a transformation in the Education industry by necessitating the widespread adoption of technological tools and validating the crucial role that education technology must play in both the short and long-term.  According to the report, merger and acquisition (M&A) activity prior to the COVID-19 outbreak was on pace to exceed last year’s record-high deal activity.  From January to March, 42 transactions were announced or closed compared to 33 during the same period in 2019—a 28% increase.  However, year-over-year deal activity following the outbreak declined 47% between April and July, resulting in a current year-to-date decline of 19%.

Operators in the space have sought to fulfill the immediate needs of the evolving market.  Many education technology companies have offered online courses to assist the needs of the remote workforce and to provide training for teachers using distance learning methods and platforms.  Widespread school closures and delays have presented significant revenue opportunities for K-12 and higher education companies to offer value-added remote learning services.  Additionally, the prevalence of “at-home” time proved a boon for online homeschooling, online courseware and curriculum (especially in the pre-K to 8 levels), online SAT and ACT test preparation, and online study aids for core competencies including mathematics and literacy.

To access the full report, click here


Capstone Headwaters is one of the largest and most active independent investment banking firms in the United States. The firm has a rich 17+ year history of achieving extraordinary results for middle market entrepreneurs, business owners, investors, and creditors. CSHW offers a fully integrated suite of corporate finance services, including merger & acquisition, debt & equity private placement, ESOP advisory, corporate restructuring, valuation & fairness opinion, and financial advisory services. Headquartered in Boston and Denver, Capstone Headwaters has over 170 professionals across 17 offices in the U.S. and an international presence including 450 professionals in 40 countries. With 16 dedicated industry groups, the firm delivers sector-specific expertise through large, cross-functional teams on a global basis. CSHW has been recognized as one of the top investment banks to work for, the top 3 most referred firms, and has been named “Middle Market Firm of the Year” for the past nine consecutive years. For more information, visit

For More Information Contact the Key Report Contributors:

Jacob Voorhees
Managing Director
Head of Education Practice & Head of Global M&A                                                                                   

Shawn Keenan
Education & Training Practice