The company said it planned to use the Series B funding to grow its cloud infrastructure, accelerate development and expand its professional services capacity.
rSmart provides open source learning management systems and enterprise resource planning, which it believed represents a $12bn opportunity within the education sector.
GSV Capital lead investor Michael Moe said, “There are inherent advantages of open source, community developed software in the higher education space, and we see rSmart tapping into this market in a very successful way.
“rSmart is helping universities realize lower total cost of ownership and higher quality products that are easy to use.
“Most importantly, rSmart’s customers are becoming part of a sustainable, collaborative movement using solutions built by higher education for higher education.
“GSV wants to be part of this movement, and rSmart is the company to make it happen.”
Earlier this year Nasdaq-listed investment fund GSV Capital raised $97.5m through a follow-on offering of common stock, which it said it would use for further investments.
The offering of 6,000,000 shares was priced at $16.25 per share, and the underwriters were granted a 30-day option to purchase up to an additional 900,000 shares.
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