Career Education To Sell European Education Properties To Apax Partners

(RTTNews) - Career Education Corp. (CECO)announced it has reached a definitive agreement to sell and transfer control of its European education properties to private equity firm Apax Partners. The company anticipates receiving a cash payment of $276.5 million at closing.

The company noted that total consideration is expected to be $305 million, less certain distributions and adjustments prior to closing, including the distribution to the company of approximately $18 million from certain subsidiaries within the International segment.

Career Education's entire International schools segment, comprised of the Paris-based INSEEC Group and the International University of Monaco, which provide career-oriented education programs in various disciplines, including business studies, health education, advertising, communications and technology, is included in this transaction.

The company's European operations reported revenue of $128.6 million in 2012, representing approximately 9 percent of consolidated revenue.

Career Education expects this transaction to close before the end of the year, pending customary provisions, including review by French anti-trust authorities.