Featured Company /
Cloud Nine Education Group
There are some huge market segments that, surprisingly, many investors overlook. For example, nearly 2 billion people worldwide speak - or are learning to speak - English at a useful level, creating a $45 billion ESL (English as a Second Language) market. As the industry experts at British Council put it, English is “economically active” as the “operating system” of global discussions between thought leaders and business decision makers.
With English the language of business and science globally, the ESL market is expected to continue to grow at a brisk pace as it appears English will never be de-throned as the world’s common language as a means of economic necessity. To that point, Statista forecasts that the ESL industry will climb to $56.2 billion by 2021.
Interestingly, growth for the ESL market will be underscored by demand not only from large countries like China, India, Mexico and Brazil, but smaller countries throughout Africa and even countries were English is already prevalent, including the U.K., Australia and the U.S.
To lend additional color to the future of the ESL market, consider that four billion people were connected online in 2018. While an impressive figure reached far faster than anyone predicted, with a global population of 7.6 billion, that means that there are approximately 3.6 billion more people that will soon be connected too.
This is important when considering that over 51% of the world’s top 10 million websites are in English. Russian is the next closest at less than 7%. Furthermore, according to researcher and linguist David Graddol, 80% of the world’s electronically stored information is in English.
Against this backdrop of billions of people still needing to learn Earth’s “lingua franca,” countries know they must invest in ESL programs to keep pace with the rest of the global culture, technology and ensure their economic stability. Simply put, everyone must learn English and be proficient with it.
Cloud Nine Education Group (CSE:CNI) is leveraging modern technology to augment or replace traditional book learning and improve language learning outcomes. The Vancouver-based company has deep experience in the ESL space, owning and operating two government accredited ESL schools in Canada before developing a proprietary, cloud-based, digital curriculum for general English studies.
Cloud Nine’s program is based on the Common European Framework of Reference for Languages (CEFR), the global standard established by the Council of Europe for standardizing the levels of language exams in different regions.
Cloud Nine has married these internationally accredited best practices with cloud-based architectures and mobile technologies to make its programs and teachers easily accessible.
The Cloud Nine ESL program is accessible through the cloud using Google Cloud and Google Classroom, a web service developed by Google (NASDAQ:GOOGL) for schools for the purpose of streamlining the process of sharing files between teachers and students.
Further, there is also a white label component to the technology, as Cloud Nine has designed its program so it can be customized or branded ESL curriculum to meet specific client needs. And that is exactly what the company has been doing of late.
Cloud Nine just announced on May 17th that they had signed a reseller agreement with High Access Line Phils. Corp. (HALPC) and HAL-ADFM Marketing (HM) based in the Philippines. The agreement will provide Cloud Nine with an established and highly respected organization through which the Company can market its proprietary cloud-based digital ESL curriculum in the lucrative Philippine market.
In the press release, Cloud Nine President & CEO commented, "We continue to move forward with our model of using resellers and partners around the world to expand our sales and marketing efforts in countries that have substantial ESL revenue opportunities. Other significant opportunity areas that we are working on include Mexico, Latin America, South America, South Asia and North America."
Also adding to the recent news pipeline, the Company announced in late-April that they had signed two agreements with Stanstead College. The first extends the existing Summer Camp program offered at the college using the Cloud Nine ESL Program. The second creates a marketing and referral relationship for Vietnam where Stanstead College has deep ties with a school in Hanoi and active plans underway to develop a school in Ho Chi Minh City.
Speaking to the Stanstead College agreement, Cloud Nine President & CEO commented, "In reaching these agreements, Cloud Nine has established a runway for a significant expansion of revenue from the ESL market in Vietnam, and in the number summer camp programs we can attract across North America."
With recent agreements in the Philippines and Vietnam, along with potential opportunities elsewhere around the world, significant revenue growth is likely in the coming quarters, something that should continue to embolden Cloud Nine’s shareholder base.
With a recently closed private placement, Cloud Nine can continue to execute on its model to capture share of a lucrative and rapidly growing market. The newly issued microcap (market cap of only ~$2.4 million) looks to be well positioned to carve out a footprint given its history in the ESL market and technology bringing it to the 21st century by meeting the needs of today’s mobile student base in replacing textbooks with mobile devices.
From recent trading in the stock (shares up 200% in the last few weeks), investors seem to like the potential of Cloud Nine and bidding shares higher as the fundamental picture continues to unfold.
Corporate Snapshot:
Cloud Nine Education Group
Stock Symbol:
CNX
Stock Exchange:
CSE
Sector:
Technology
52 Week High:
$0.3100
52 Week Low:
$0.0500
Current Stock Quote / Chart / News: Click here
Information as of
May 16, 2019
There are some huge market segments that, surprisingly, many investors overlook. For example, nearly 2 billion people worldwide speak - or are learning to speak - English at a useful level, creating a $45 billion ESL (English as a Second Language) market. As the industry experts at British Council put it, English is “economically active” as the “operating system” of global discussions between thought leaders and business decision makers.
With English the language of business and science globally, the ESL market is expected to continue to grow at a brisk pace as it appears English will never be de-throned as the world’s common language as a means of economic necessity. To that point, Statista forecasts that the ESL industry will climb to $56.2 billion by 2021.
Interestingly, growth for the ESL market will be underscored by demand not only from large countries like China, India, Mexico and Brazil, but smaller countries throughout Africa and even countries were English is already prevalent, including the U.K., Australia and the U.S.
To lend additional color to the future of the ESL market, consider that four billion people were connected online in 2018. While an impressive figure reached far faster than anyone predicted, with a global population of 7.6 billion, that means that there are approximately 3.6 billion more people that will soon be connected too.
This is important when considering that over 51% of the world’s top 10 million websites are in English. Russian is the next closest at less than 7%. Furthermore, according to researcher and linguist David Graddol, 80% of the world’s electronically stored information is in English.
Against this backdrop of billions of people still needing to learn Earth’s “lingua franca,” countries know they must invest in ESL programs to keep pace with the rest of the global culture, technology and ensure their economic stability. Simply put, everyone must learn English and be proficient with it.
Cloud Nine Education Group (CSE:CNI) is leveraging modern technology to augment or replace traditional book learning and improve language learning outcomes. The Vancouver-based company has deep experience in the ESL space, owning and operating two government accredited ESL schools in Canada before developing a proprietary, cloud-based, digital curriculum for general English studies.
Cloud Nine’s program is based on the Common European Framework of Reference for Languages (CEFR), the global standard established by the Council of Europe for standardizing the levels of language exams in different regions.
Cloud Nine has married these internationally accredited best practices with cloud-based architectures and mobile technologies to make its programs and teachers easily accessible.
The Cloud Nine ESL program is accessible through the cloud using Google Cloud and Google Classroom, a web service developed by Google (NASDAQ:GOOGL) for schools for the purpose of streamlining the process of sharing files between teachers and students.
Further, there is also a white label component to the technology, as Cloud Nine has designed its program so it can be customized or branded ESL curriculum to meet specific client needs. And that is exactly what the company has been doing of late.
Cloud Nine just announced on May 17th that they had signed a reseller agreement with High Access Line Phils. Corp. (HALPC) and HAL-ADFM Marketing (HM) based in the Philippines. The agreement will provide Cloud Nine with an established and highly respected organization through which the Company can market its proprietary cloud-based digital ESL curriculum in the lucrative Philippine market.
In the press release, Cloud Nine President & CEO commented, "We continue to move forward with our model of using resellers and partners around the world to expand our sales and marketing efforts in countries that have substantial ESL revenue opportunities. Other significant opportunity areas that we are working on include Mexico, Latin America, South America, South Asia and North America."
Also adding to the recent news pipeline, the Company announced in late-April that they had signed two agreements with Stanstead College. The first extends the existing Summer Camp program offered at the college using the Cloud Nine ESL Program. The second creates a marketing and referral relationship for Vietnam where Stanstead College has deep ties with a school in Hanoi and active plans underway to develop a school in Ho Chi Minh City.
Speaking to the Stanstead College agreement, Cloud Nine President & CEO commented, "In reaching these agreements, Cloud Nine has established a runway for a significant expansion of revenue from the ESL market in Vietnam, and in the number summer camp programs we can attract across North America."
With recent agreements in the Philippines and Vietnam, along with potential opportunities elsewhere around the world, significant revenue growth is likely in the coming quarters, something that should continue to embolden Cloud Nine’s shareholder base.
With a recently closed private placement, Cloud Nine can continue to execute on its model to capture share of a lucrative and rapidly growing market. The newly issued microcap (market cap of only ~$2.4 million) looks to be well positioned to carve out a footprint given its history in the ESL market and technology bringing it to the 21st century by meeting the needs of today’s mobile student base in replacing textbooks with mobile devices.
From recent trading in the stock (shares up 200% in the last few weeks), investors seem to like the potential of Cloud Nine and bidding shares higher as the fundamental picture continues to unfold.
Forward Looking Statements
This report includes forward-looking statements that reflect current expectations about its future results, performance, prospects and opportunities. Cloud Nine Education Group has tried to identify these forward-looking statements by using words and phrases such as "may," "will," "expects," "anticipates," "believes," "intends," "estimates," "plan," "should," "typical," "preliminary," "we are confident" or similar expressions. These forward-looking statements are based on information currently available and are subject to a number of risks, uncertainties and other factors that could cause Cloud Nine Education Group's actual results, performance, prospects or opportunities to differ materially from those expressed in, or implied by, these forward-looking statements. These risks, uncertainties and other factors include, without limitation, the Company's growth expectations and ongoing funding requirements, and specifically, the Company's growth prospects with scalable customers, and those outlined above. Other risks include the Company's limited operating history, the Company's history of operating losses, consumers' acceptance, the Company's use of licensed technologies, risk of increased competition, the potential need for additional financing, the terms and conditions of any financing that is consummated, the limited trading market for the Company's securities, the possible volatility of the Company's stock price, the concentration of ownership, and the potential fluctuation in the Company's operating results.
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