The owner of the University of Phoenix is preparing to return to public markets after more than eight years, aiming for a valuation of up to $1.17 billion in its U.S. IPO. Phoenix Education Partners, backed by Apollo Global and Vistria Group, plans to raise as much as $140.3 million by offering 4.25 million shares at $31 to $33 each.
Apollo is selling 3.55 million shares while retaining majority voting control after the offering, and Vistria is divesting 0.7 million shares. The listing continues a recent wave of sponsor-backed IPOs, as private equity exits gain momentum alongside a broader revival in the U.S. IPO market.
IPOX CEO Josef Schuster said sentiment for U.S. listings has been “excellent,” adding that sponsor-backed IPOs benefit from the environment despite being capital structure transactions where proceeds do not flow directly to the company.
Founded in 1976 by John Sperling, the University of Phoenix primarily serves working adults in the U.S. and currently offers 72 degree programs and 33 non-degree certificates.
Phoenix Education’s predecessor, Apollo Education Group, was taken private in 2017 in a $1.1 billion deal by Apollo and Vistria. Since then, the university has exited non-core programs and divested several international schools. In 2023, a non-profit tied to the University of Idaho had agreed to buy Phoenix’s operations for $550 million, but the deal collapsed earlier this year.
Source: Reuters
