This case describes the decision by Ascend Ventures to invest in a firm that falls outside their investment strategy. Ascend Ventures is a relatively young private equity firm that has targeted technology companies that are managed by women or minorities. The company under their consideration, Platform Learning, operates in the for-profit education market, providing supplemental education services to children in failing public schools. Because Platform Learning is not a technology company, Ascend’s investment managers are worried about their ability to add value in this market and concerned about how their limited partners might react to this investment.
Darden Business Publishing – University of Virginia