NexPhase Capital Announces Investment in Aztec Software

New York, NY-April 27, 2022

NEW YORK – April 27, 2022 – NexPhase Capital, LP (“NexPhase”), a thematic and operationally focused private equity firm, announced today it has made an investment into Aztec Software (“Aztec” or the “Company”), an educational software company focused on the adult education and workforce training and certification markets. The investment will support Aztec’s continued growth and expansion into adjacent markets, solutions and channels and position the Company to execute on its robust acquisition pipeline.

Founded in 1980 and headquartered in Springfield, New Jersey, Aztec creates learning solutions for adult learners in all 50 states to remediate learning needs, prepare for standardized tests, re-skill and improve employability. Developed by industry experts and exclusively used with adult learners, the Aztec learning system consistently produces leading results from low-level literacy through high school equivalency, and onto certification preparation and employability skills. Combining innovative technology and a comprehensive library of purpose-built educational content, Aztec’s learning platform is designed to empower learners through ease of access, individualized learning plans and real-time feedback, providing an autonomous educational experience.

Jonathan Blitt, CEO of Aztec Software said, “Aztec is driven by the firm belief that every adult deserves access to the tools that will enable them to succeed in a competitive employment landscape, which effectuates generational change. From early in the process, it was clear that NexPhase understood and shared our mission, business model and strategic goals, ultimately making them the ideal partner to help Aztec continue to innovate and grow. With NexPhase’s support, we will be able to not only further invest in our marketing and salesforce, but deliver additional workforce training and preparation to a market craving contextualized and relevant content. The NexPhase team brings an impressive track record of supporting companies’ growth, and by leveraging their expertise, we can continue to educate, empower and elevate adult learners.”

“Aztec is a highly reputable adult education provider with a highly scalable technology platform, and we are proud to partner with Jonathan and the talented Aztec team to accelerate their growth across the entire adult learning ecosystem,” said Bob Gartland, a Partner at NexPhase. “Aztec plays a critical role in completing the education continuum by empowering adult learners with individualized learning plans through its comprehensive solutions suite. We look forward to supporting Aztec’s growth in developing an integrated product ecosystem and expanding workforce and certification offerings.”

The NexPhase team has extensive experience investing in software companies. Current and previous investments include KnowFully Learning Group, Selerix Systems, DealerOn, Brandt Information Services, Insurance Technologies, Flexible Architecture & Simplified Technology, Inside Real Estate, SwipeClock and Mxi Technologies.

Terms of the investment were not disclosed. Mr. Blitt will remain CEO of Aztec and serve on the Company’s Board of Directors. Michael Kheyfets will continue to serve as the Company’s President and COO and as a member of the Board. Mr. Gartland, in addition to Joel Killion and Quint Carr, a Partner and Vice President at NexPhase respectively, as well as Steve Hoffman and Mike Roe, both Operating Partners at NexPhase, will also be joining the Board.

Lowenstein Sandler LLP served as legal advisor to NexPhase. Macquarie Capital (USA) Inc. acted as financial advisor to Aztec Software and Cooley LLP served as the Company’s legal advisor.

About NexPhase Capital

NexPhase Capital (“NPC”) is a thematic and operationally focused private equity firm that invests in lower middle market growth-oriented companies within three distinct sectors: consumer, healthcare, and software. The firm partners with companies that have reached a growth inflection point and are seeking a value-added partner to help navigate the company’s “next phase.” The NPC team has extensive industry and operational experience and NPC’s partners have invested together for over a decade. The firm has completed over 80 investments, including add-ons, and targets control equity investments between $25 million and $150 million. For more information, please visit www.NexPhase.com.

About Aztec Software

Since 1980, Aztec Software has been in the business of improving the lives of adult and young adults through computerized skills remediation, with a focus on core academic subject areas, as well as those skills for ABE and HSE test preparation. Developed by educators, not technologists, the company has expanded its product set beyond academic material and into all aspects of the transitioning worker’s retraining and survival. Aztec’s software platform provides instructors and students with the tools they need to diagnose, remediate, instruct and learn, while utilizing ongoing formative assessments to guide the learning and instructional process. Our content provides instruction from phonemic awareness through high school equivalency and also includes college-prep or workforce readiness modules. For more information, please visit www.aztecsoftware.com.