Blackstone and Canada Pension Plan Investment Board have agreed to acquire Ascend Learning from Providence Equity Partners and Ontario Teachers’ Pension Plan, with Reuters reporting a possible price of more than $2 billion, including debt. Ascend is a provider of testing and teaching services offering certifications in various industries, with a focus on healthcare and other licensure-required careers.
Blackstone
The deal occurs in an educational software sector that’s drawn increasing interest from private equity. The past two years were the busiest in the space out of the past 10 when it comes to PE deal activity, according to the PitchBook Platform, peaking with 28 transactions in 2015. As with PE’s uptick in interest in IT as a whole, the industry’s newfound attraction to educational software is likely driven by its maturity, as a class of companies founded in the not-too-distant past reach an age more consistent with the private equity model.
For Blackstone, meanwhile, the announced secondary buyout of Ascend Learning is the continuation of what’s already been a hectic April.
Article by PitchBook
