Multiverse Raises $130M at $875M Valuation - Tech Apprenticeships

Multiverse Secures $130 Million Series C Funding

Following a rebranding from White Hat and a $44 million funding round earlier in the year, Multiverse, a technology apprenticeship startup, has announced a new investment. The company today revealed it has successfully closed a $130 million Series C funding round.

Investment Details and Backers

Rumors of this funding had circulated in recent weeks as the deal was finalized. D1 Capital Partners and BOND spearheaded the latest investment, though Multiverse has not disclosed the complete list of participating investors. Previous backers include General Catalyst, GV, Audacious Ventures, Latitude, SemperVirens, Index Ventures, and Lightspeed Venture Partners.

D1 is the firm established by Daniel Sundheim, while BOND was co-founded by Mary Meeker, both prominent figures in the investment landscape.

Valuation and Growth

The company’s current valuation has been confirmed at $875 million. Prior to this round, PitchBook estimated the valuation at just under $164 million, and the FT reported $200 million, figures Multiverse did not officially confirm.

This increase reflects substantial growth; Multiverse reports a four-fold expansion in the past year, now having supported approximately 5,000 individuals, encompassing both current apprentices and alumni.

Expansion Plans

The previous funding round aimed to facilitate the London-based startup’s expansion into the U.S. market. The New York office, however, only opened last month, potentially due to disruptions caused by the global COVID-19 pandemic.

The newly acquired funds will be allocated to furthering this expansion, both within the company’s home market and across the United States.

Client Base and Program Offerings

Multiverse currently serves around 300 clients – a figure consistent with its previous funding announcement in January. Newer clients include Google, Generation USA, Mixpanel, and Adyen, joining established partners like Facebook, Morgan Stanley, and the NHS.

Apprenticeships offered through the platform span a diverse range of roles, from data science and adtech positions ("programmatic pioneer" being one example) to administrative and operational functions. These placements are available in both tech and finance organizations, and can be either on-site or remote.

Company pricing is generally around $15,000, though it varies. Importantly, applicants do not incur any costs and receive compensation from the companies offering the apprenticeships.

Adapting to a Changing Job Market

The job market has undergone significant changes in the last 18 months, influenced by economic downturns, evolving consumer behaviors, and the shift in work dynamics due to the global health crisis.

These shifts have had widespread effects, impacting how individuals search for employment, prepare for desired roles, and even perceive their career paths – and the same holds true for employers.

The Rise of Remote Tech Roles

Tech jobs are particularly well-suited to remote work, leveraging the digital tools that tech professionals develop and maintain.

This presents a unique opportunity for Multiverse, and for the apprenticeship model in general, bridging the gap between traditional recent graduates and those still in education seeking internships.

A New Path to Employment

“We want to build an outstanding alternative to university and college,” stated Euan Blair earlier this year. The company’s name reflects its target audience, who often don’t fit neatly into conventional candidate categories. Blair explained that there are “multiple universes” of possibilities for young adults post-18, hence the name Multiverse (unrelated to the “metaverse” concept).

Apprenticeships typically last 1.5 years.

Challenges and Competition

While opportunities can be lucrative, they can also be challenging to capitalize on. This may be a key reason for Multiverse’s rapid fundraising cycle. Competition is also a factor, with companies like LinkedIn re-evaluating and expanding their offerings in professional development and job searching, including potential apprenticeship programs.

Investor Confidence

Investors remain optimistic about Multiverse’s focused approach and potential benefits for both job seekers and employers.

“We believe Multiverse is expanding access to wage-growth and social mobility for employees from a broad range of backgrounds while creating substantial value for employers,” said Jeremy Goldstein of D1 Capital Partners. “We are excited to invest and help Multiverse scale its model globally.”

Diversity and Inclusion

The startup is also focused on leveraging its platform to diversify the talent pool, attracting individuals who may not traditionally have access to such opportunities. Multiverse reports that 53% of its placed apprentices are people of color, and 36% come from economically disadvantaged backgrounds.