Pearson Sells US K12 Courseware Business for $250 Million
February 18 2019 - 2:40AM
Dow Jones News
By Oliver Griffin
Pearson PLC (PSON.LN) said Monday that it has sold its U.S. K12
courseware business to Nexus Capital Management LP for $250
million.
The London-based education publisher said the proceeds comprise
$25 million in cash plus an unconditional vendor note for $225
million, which is expected to be repaid in three to seven
years.
Once the vendor note is repaid, Pearson is entitled to 20% of
all future cash flows to equity holders and 20% of net proceeds if
the business is sold.
The disposal is a part of the company's work to become simpler
and more efficient, Pearson said.
Pearson said it expects the transaction to be completed at the
end of the first quarter, and will use the cash proceeds generated
from the sale for general corporate purposes.
Write to Oliver Griffin at oliver.griffin@dowjones.com;
@OliGGriffin
(END) Dow Jones Newswires
February 18, 2019 02:25 ET (07:25 GMT)
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