November 20, 2019

Private Equity investing in Education Conference, Discount available for our readers!

capital roundtable discount

private equity investing in education

MarketDrivenEdu is pleased to announce The Capital Roundtable’s full-day conference on Private Equity Investing in Education-Focused Companies.

Coming up on Wednesday, January 22, 2020, in New York City, the theme of this conference is How Successful Investors Spot Rewarding Trends in the Education Industry.

As a friend, you qualify for a special VIP rate — $1095 ($400 off the standard rate). To register online, please click here and use code marketvip or contact Chris Agar at 212-832-7300 ext. 0, or cagar@capitalroundtable.com.

 

Bain Capital Double Impact Fund’s acquisition of Penn Foster — and its subsequent add-on of Ashworth College — is a classic example of how a private equity firm can successfully capitalize on multiple rewarding trends —

  • online learning
  • middle-skills training
  • counter-cyclical investment
  • roll-ups to add value
  • and impact investing

 

But Bain’s deal is also an investment that keeps in focus two critical long-term fundamentals in the education industry — costs and outcomes.

 

  • Costs — Neither Penn Foster nor Ashworth accepts Title IV funding, and both say this enables them to keep the costs of their educations affordable to students. In fact, Ashworth lists its cost per tuition hour at only $64 — one-seventh the fees charged by one of its notable competitors

 

  • Outcomes — And while both schools have faced issues with outcomes over the years, these appear to have improved because of the two education companies’ unrelenting focus on them. For instance, Bain says an astonishing 60% of Penn Foster’s students report higher pay after graduation.

 

Hotly favored areas of investment in education come and go (remember MOOCs and coding schools?), but the twin fundamentals of costs and outcomes remain constant, or, if anything, have actually increased in importance!

 

Join more than 20 experts as they assess the outlook for the education industry at this all-day conference, chaired by Robert Puopolo, partner at Epic Partners.

At this conference, you’ll enjoy exceptional networking opportunities. The agenda includes ample time, with session breaks and a buffet lunch, to exchange ideas, swap business cards, and form new relationships.

To register online, please click here and use code marketvip or contact Chris Agar at 212-832-7300 ext. 0, or cagar@capitalroundtable.com.

  

 

Be sure to mention MarketDrivenEdu to receive this low VIP rate.

Gainful Employment being rescinded by Education Secretary!

Education Secretary Betsy DeVos is rescinding an Obama-era rule that was created to protect students from abusive for-profit colleges.  She ruled that all colleges should be held to the same rules.  Clearly makes sense to us, but other dont agree…

The rule, known as Gainful Employment, required for-profit colleges and career certificate programs to post debt-to-earnings ratios, proving that their students could find good-paying jobs upon graduating. If the average ratio did not meet government standards, the school’s federal funding would be revoked.

The Department of Education outlined a number of reasons the regulation was flawed in a notice posted Friday. It said the rule failed to account for factors other than program quality that could affect a graduate’s earnings.

DeVos has also criticized the rule for not requiring all nonprofit colleges to also publish the data. In May, the department released new student loan data at the program level from nonprofit colleges, as well as certificate-granting programs.

Link to CNN article: https://www.msn.com/en-us/news/us/betsy-devos-scraps-obama-era-rule-on-for-profit-colleges/ar-AADzKvw?ocid=spartandhp

 

Private Equity investing in Education companies conference discount code

 

 

 

 

Save $400.00

MarketDrivenEDU is pleased to announce The Capital Roundtable’s full-day conference on Private Equity Investing in Education-Focused Companies.

 

Coming up on Thursday, July 18, 2019, in New York City, the theme of this conference is Investing in Post-Secondary Education — Why More PE Funds Have Gotten Back in the Game!

 

As a member or frequent guest, you qualify for a special VIP rate ($400 off the standard rate). To register online, please click here and use code MarketDrivenVIP or contact Chris Agar at 212-832-7300 ext. 0, or cagar@capitalroundtable.com.

 

Private equity firms have felt hesitant about investing in post-secondary education companies for the past decade or so — since the Great Recession and since 2010 when the Obama administration introduced the Gainful Employment Rule.

 

But times are changing.  Recently several deals reflect renewed interest by PE investors in this sector –

 

  • Renovus Capital Partners bought Rasmussen College, a healthcare-focused college system with 10,000 students across 22 campuses.
  • Toronto’s Altas Partners bought the University of St. Augustine from Laureate Education in a deal worth $400 million.
  • Colibri Group, backed by Charlottsville’s Quad-C Management, acquired Allied Business Schools, which offers online real estate certification education.
  • Dallas’s NCK Capital purchased Chicago-based Tricoci University of Beauty Culture.

Join more than 20 experts as they assess the outlook for the education industry and survey the prospects for its various subsectors at this all-day conference, chaired by Bradley Whitman, founding partner at Renovus Capital Partners.

Three key reasons why you should join us: 

  1. Hear how higher education is being remade to better support employers’ and students’ needs.
  2. Understand which education sub-sectors are most appealing.
  3. Get insight into the long-term regulatory outlook.

 

The opportunity in the post-secondary sector is much larger than just investments in for-profit colleges. For instance, many traditional colleges are adopting some aspects of for-profit models and looking for partners.

 

TPG Rise fund is partnering with Arizona State University to roll out a company that will work with employers who want to offer their workers online access to ASU’s programs. Both University of Massachusetts and State University of New York are planning national online colleges for adult learners, and considering partnerships with online program managers.

 

And it isn’t just post-secondary education that’s hot. At the other end of the age spectrum, PE firms are interested in preschool childcare businesses, such as –

  • The Learning Experience, recently purchased by Golden Gate Capital
  • Partners Group-backed KinderCare Education acquired Troy, Michigan-based Rainbow Child Care Center from Quad-C Management.

At this conference, you’ll enjoy exceptional networking opportunities. The agenda includes ample time, with session breaks and a buffet lunch, to exchange ideas, swap business cards, and form new relationships.

To register online, please click here and use code MarketDrivenVIP or contact Chris Agar at 212-832-7300 ext. 0, or cagar@capitalroundtable.com.

  

 Please be sure to mention MarketDrivenEDU to receive this low VIP rate.

M&A activity pick up in EDU

Mergers and Acquisitions activity has spiked recently in EDU.

Red Ventures Buys HigherEducation.com

Charlotte, North Carolina-based digital company Red Ventures announced it has acquired HigherEducation.com (H-E) for an undisclosed amount. H-E is a provider of marketing and enrollment services to post-secondary institutions.

“Online education is a fast-growing industry with enormous scale and significant innovation,” said Red Ventures CEO Ric Elias. “HigherEducation.com brings a unique mix of high-quality digital assets, well-established partnerships, and deep technical expertise, all of which fit perfectly into the Red Ventures model and provide the ideal entry point into the broader education sector.”

Launched in 2007, H-E owns a portfolio of websites that helps more than 150 primarily not-for-profit university partners expand their education offerings and better reach prospective students across the country.

“Red Ventures is the ideal long-term home for HigherEducation.com as we continue to build the leading digital marketplace serving the education sector,” added H-E founder and CEO Patrick Gavin. “I’m grateful to the Vistria team for helping us achieve this milestone. Their shared vision, commitment to our team and sector insight were instrumental in strengthening the foundation of the company.”

Red Ventures bought H-E from Chicago-based private investment firm The Vistria Group. Under Vistria, H-E capitalized on industry relationships and operating expertise to help strategically position the service in its markets and facilitate the company’s growth and profitability.

“We have enjoyed our partnership over the past two years and are thrilled to have been able to deploy the Vistria playbook in support of HigherEducation.com,” explained The Vistria Group co-CEO Martin Nesbitt. “The company is well positioned to meet the evolving needs of both prospective students and education providers, and together with Red Ventures, equipped to reach new heights.”

Red Ventures Buys HigherEducation.com

 

 

2U Announces Partnership and Stake in Keypath

Online program management companies 2U and Keypath Education have announced they will work together to help colleges launch and run online degrees.

2U has agreed to acquire a minority stake in the parent company that owns Keypath Education — an OPM that specializes in working with small colleges and has offices in the U.S., Canada, Australia and England. Keypath Education currently works with 23 university partners.

The partnership will allow 2U to “expand the scope of its services” by working with smaller or lower-tuition degree programs than it typically supports, a 2U press release said. The company is known for working with selective institutions such as the Harvard Business School.

2U also announced this week that it will be offering its students complimentary access to LinkedIn Premium Career, which will help students to network and find jobs. The company will use insights from LinkedIn Premium Career to track students’ career progression and to improve employment outcomes for 2U’s university partners.

https://www.insidehighered.com/quicktakes/2019/02/07/2u-announces-partnership-and-stake-keypath

 

2U, Inc. to Acquire Trilogy Education

  • Adds technical skills-based ‘boot camps’ to 2U’s partner offerings across a variety of technical subjects
  • Creates comprehensive suite of partner offerings across the career curriculum continuum to make education more accessible for the lifelong learner
  • Expands 2U’s partner portfolio from 36 to 68 world-class universities while strengthening its existing relationships
  • Brings together two companies with proven track records of working with top universities, accelerating 2U’s timeline to achieving $1 billion in revenue

Lanham, Md., and New York – April 8, 2019 – 2U, Inc. (Nasdaq: TWOU), a leader in education technology, today announced that it has entered into an agreement to acquire Trilogy Education, a workforce accelerator that prepares adult learners for high-growth careers in the digital economy, for $750 million in cash and stock. Trilogy partners with top universities and leading companies to provide in-person and online skills-based training programs in coding, data analytics, UX/UI, and cybersecurity that bridge regional hiring gaps in more than 50 cities around the globe.

2U is a trusted partner and brand steward to great universities, helping them build, deliver, and support world-class, graduate-level degree programs, professional certificates, and short courses online. Trilogy-powered boot camps are a natural complement to 2U’s existing portfolio of offerings; and 2U’s unparalleled track record of scaling high-quality digital education offerings will help drive Trilogy’s continued growth and online expansion.

 

A Compelling Strategic Fit

“Trilogy Education has built and scaled an incredible business thanks to Dan and his talented team, and we’re thrilled to have them join 2U. Their business is a natural strategic fit and growth driver for 2U that will extend our reach across the career curriculum continuum, deepen our relationships with new and existing partners, drive marketing efficiencies, and open a more direct corporate training and enterprise sales channel for the company. We expect the addition of Trilogy to accelerate our path to $1 billion in revenue by one year from 2022 to 2021,” 2U Co-Founder and CEO Christopher “Chip” Paucek said. “Increasingly, universities are attempting to add practical, technical skills to their degrees. We simply future-proof the degree by adding this type of technical competency.”

https://2u.com/about/press/2u-to-acquire-trilogy-education/

 

Dozens charged in alleged college cheating scam wealthy parents, elite college coaches and college prep executives accused of carrying out a nationwide fraud

wealth pay for their kids to get into college

wealth pay for their kids to get into college

Pay to play at it’s worst.  These people already provided financial benefits to their children giving them the advantage more than 99.5% of the population had access to.  But it wasn’t enough, prestige bought and paid for.  Many of the kids didn’t even know, now their parents stripped away their confidence.  Lets see, coach i’ll pay you $500,000 if you get my kid into your college as a crew athlete, no he doesnt do crew, but my check clears….

Actresses Felicity Huffman and Lori Loughlin are among dozens of other wealthy parents, elite college coaches and college prep executives accused of carrying out a nationwide fraud to get students into prestigious colleges, according to a massive federal indictment.

Federal prosecutors said Tuesday the scheme had two major pieces. In the first part, parents allegedly paid a college prep organization to take the test on behalf of students or to correct their answers. Second, the organization allegedly bribed college coaches to help admit the students into college as recruited athletes, regardless of their actual abilities, prosecutors said.
The documents also allege that some defendants created fake athletic profiles for students to make them appear to be successful athletes.
Live Updates: College admissions cheating scheme
In all, 50 people were charged in the criminal investigation that went by the name “Operation Varsity Blues.” Those arrested include two SAT/ACT administrators, one exam proctor, nine coaches at elite schools, one college administrator and 33 parents, according to Andrew Lelling, the US attorney for Massachusetts.
Coaches from Yale, Stanford, the University of Southern California, Wake Forest and Georgetown, among others, are implicated in the case. The extensive case — the largest college admissions scam ever prosecuted, attorneys said

Grand Canyon University partners with Onlinedegree.com to make college education more affordable!

grand canyon onlinedegree.com

Grand Canyon University (GCU) and OnlineDegree.com are working together to help make higher education more affordable and accessible for people across the country. Prospective GCU students will be able to satisfy general education requirements at OnlineDegree.com through self-paced online courses, tuition-free to the site’s participants. Thus, significantly lowering the total cost of education and removing impediments that often prevent individuals from taking initial steps toward their degree.

At OnlineDegree.com, students can receive college credit toward their degree taking online courses without the normal applications, entrance exams, or tuition associated with traditional institutions. The fast-growing platform was created by startup veterans and leading academics in higher education to help people go back to school. OnlineDegree.com not only prepares adults for collegiate learning, but works with participating accredited universities to award transfer credit for student’s completion of the courses. With thousands of students now enrolling every month, this provides a flexible pathway for busy adults to complete general education requirements and lower the cost of a college education.

“One of the most critical issues facing our society is access to affordable higher education,” says Grant Aldrich, Founder of OnlineDegree.com. “To enact real change, we must address the issues preventing people from getting the education they need. Grand Canyon University is bringing about that change.”

Grand Canyon University is Arizona’s premier private Christian university helping students find their purpose with next-generation education, including over 200 academic programs with many in high-demand fields. GCU offers traditional students and working professionals generous scholarship opportunities, student support resources, state-of-the-art facilities, and more. A nonprofit institution accredited by the Higher Learning Commission, GCU has been providing a consistent and effective online learning platform for more than a decade, with an advanced online learning management system and a variety of online library resources available anytime, anywhere.

“Grand Canyon University has a long history of making college more attainable for busy adults and non-traditional students,” says Cameron Whitcomb, Director of Strategic Alliances. “Working together with OnlineDegree.com furthers our mission of helping everyone reach a faith-based institution offering both academic quality and integrity.”

Through the alliance with OnlineDegree.com, prospective students will have up to 44 units of available credit that could be applied toward a degree at GCU. OnlineDegree.com students will also receive an additional 10% scholarship off tuition from the standard tuition rates when they enroll.

For more information, students can visit https://bit.ly/2SRpFhX .

About Grand Canyon University
Grand Canyon University is Arizona’s premier private Christian university helping students find their purpose with next-generation education, including over 230 academic programs with many in high-demand fields. GCU offers traditional students and working professionals generous scholarship opportunities, student support resources, on-campus state-of-the-art facilities, dynamic online classrooms, innovative learning experiences and more. https://www.gcu.edu

About OnlineDegree.com
On a mission to make higher education more affordable and accessible for everyone, OnlineDegree.com is a team of startup veterans and leading academics who believe everyone should have the ability to go to college. Through its free platform, students can explore different courses and subjects on their own schedule, be better prepared for collegiate learning, and could receive college credits toward their degree at participating universities throughout the United States. Working adults now have a bridge to start their path back to school regardless of their finances or busy schedules. https://www.onlinedegree.com/about-us/.

Media Contact
OnlineDegree.com Press Team
Email: press (at) onlinedegree (dot) com

Grand Canyon University
Bob Romantic – 602-639-7611 bob.romantic (at) gcu (dot) edu

Leadscon Discount code, special member rate

leadscon discount code

 

 

 

 

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Online Education expected to continue it’s growth in 2019

edufficient advertising for online education

 

The number of students who were enrolled exclusively online grew to 15.4 percent  which is up from 14.7 percent in 2016, or about one in six students. The percentage of all students who combined online and in-person courses grew faster, to 17.6 percent in 2017 from 16.4 percent in 2016.  The percentage of students who took at least one course online grew to 33.1 percent, from 31.1 percent in 2016.  Online education continues to prove it’s not only here to stay but growing.

With traditional non profit institutions, OPM’s & for-profits continuing to cater to this growing market it’s clear that there is a lot of opportunity ahead.  Most of the traditional non profits who succeed are generally partnering with OPM’s like 2U or OPM alternative facilitators like Edufficient.  Those who try it alone continue to have a high failure rate.

 

View the Report from the National Center for Educational Statistics : https://nces.ed.gov/pubs2019/2019021.pdf

Lamar Alexander will not seek re election

lemar alexander wont seek reelection

Tennessee Republican Lamar Alexander, one of the few pragmatic dealmakers left on Capitol Hill, is the first senator to announce he won’t run for re-election in 2020.

“The people of Tennessee have been very generous, electing me to serve more combined years as Governor and Senator than anyone else from our state. I am deeply grateful, but now it is time for someone else to have that privilege,” the longtime politician said in a statement. “I have gotten up every day thinking that I could help make our state and country a little better, and gone to bed most nights thinking that I have. I will continue to serve with that same spirit during the remaining two years of my term.”

Virginia College and Brightwood College suddenly close all locations

for profit education closures 2018

Education Corporation of America, owner of a national chain of for-profit schools including Virginia College and Brightwood College in Maryland, is ending operations this week in the face of dwindling enrollment and regulatory pressures.

“This is not the outcome that we envisioned and is one that we recognize will have a dramatic effect on our students, employees and many partners,” Diane Worthington, a spokeswoman for Education Corp., said in a statement Wednesday.

The abrupt closure will leave some 20,000 students at more than 75 campuses scrambling to complete their education once the current term ends Friday. Worthington said the company, known by its acronym, ECA, will ensure students can access their transcripts to transfer to another school.

On its website, ECA promises students it will provide information within two weeks about transcript requests and recommendations on where to transfer. The haphazard planning has drawn the ire of the Education Department, which has been in talks with the company to create a transition plan for students, according to department spokeswoman Liz Hill.

Link to article: https://www.washingtonpost.com/education/2018/12/06/virginia-college-brightwood-college-closing-for-profit-operator-cites-dwindling-enrollment/?noredirect=on&utm_term=.bd3b51e1aebf

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