Contxto – Companies everywhere continue to grapple with finding the right talent to fill job positions—mainly for their software teams. Fortunately, there are startups offering programming classes for people with no background on the matter.
But one Brazilian contender wants to take the job soft-landing experience one step further. To that end, Trybe recently acquired Codenation. As a result, the Codenation team is now part of the Trybe clan. However the value of the transaction was not disclosed.
- Related article: Trybe raises US$10 million investment to expand software school
Together they’ll be developing training programs that better prepare Trybe students to enter the job market.
A strategic move by Trybe and Codenation
Trybe’s business model operates under an Income Share Agreement (ISA) model. Meaning a student learning to develop software through the startup doesn’t pay a penny until they land a job.
But because Trybe relies on this final and ever-so-crucial step to turn a profit, it needed a partner to help its students make that leap.
This startup had developed an acceleration program called AceleraDev that preps programmers for the labor market. Likewise, it had built up a network with companies looking to hire so as to help its participants connect and land that job.
Although it faced a particular challenge: oftentimes, applicants had no knowledge of how to program.
Why go for an acquisition as opposed to simply partnering up for an undefined period of time? Matheus Goya, CEO and co-Founder at Trybe, provided an answer:
“In our perspective, M&A is the best way to have team alignment and put both teams working together with the right incentives, with the same purpose and sharing the same vision,” said the Executive in correspondence with Contxto.
[wd_hustle id=”InArticleOptin” type=”embedded”/]
As a result of its acquisition, the AceleraDev program shall end. Its current participants will be the program’s final generation. Meanwhile, the learning experience for Trybe students shall continue on as usual in the short term.
However, the startup and its new team members will be busy improving Trybe‘s student success unit so alumni can go on and snag the best possible job offers. A win-win for everyone.
Goyas also told Contxto about Trybe‘s plans further down the line:
“In the mid-long term, we also expect to use Codenation content and product expertise to complement our solution. Our goal here remains improving pedagogical outcomes and employability.”
A match made in heaven?
This acquisition shows that great teams can complement each others’ strengths and weaknesses. Moreover, this explains the Trybe-Codenation mash-up.
It’s a big change for the Codenation team. Nonetheless, it meshes well with its ongoing vision.
Related articles: Tech and startups from Brazil!