AI leadership development platform Praxis Labs sells to Torch

Praxis Labs, a prominent platform focused on learning and leadership development, has officially been acquired by the coaching and leadership enterprise Torch, as announced on Thursday. While the specifics of the deal remain undisclosed, co-founder and CEO Elise Smith expressed the necessity of forming strong partnerships to expand their reach. "As a small company with under 20 employees serving major clients like Amazon, we recognized the importance of collaborating to enhance our product and market strategy," Smith explained in an interview with TechCrunch. Smith and her business partner, Heather Shen, first connected with Torch CEO Heather Conklin through their shared involvement in the leadership development sector. Smith noted, "We were immediately drawn to the alignment of our values and missions, as well as our common vision for equipping the future workforce." She highlighted the potential to merge Torch’s contextual coaching and organizational insights with Praxis’ AI-driven coaching and skills assessment tools. Founded in 2019, Praxis Labs has partnered with major corporations such as eBay, Zoom, Amazon, Google, and Target, focusing on fostering equitable and inclusive working environments through comprehensive leadership training. Notably, the company raised $15 million in a Series A funding round in 2021, positioning Smith as one of the few Black women to secure over $1 million in venture capital at that time. Investors in this funding round included Emerson Collective, Steph Curry’s Penny Jar Capital, Precursor Ventures, and Ulu Ventures. Following the acquisition, Smith will take on the role of head of AI Growth at Torch, while Shen will serve as head of AI Product. The entire Praxis team is set to integrate into Torch, with Smith articulating the current challenge faced by organizations: "Every company and executive team is grappling with the vital question of how to prepare for a future where humans and AI collaborate, all while preserving the essential human connections that drive true transformation in the workforce and within organizations." She concluded with confidence that joining Torch presents the ideal opportunity to address this critical issue at such a pivotal moment.