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BRIEF-‍Strayer Education Inc and Capella Education Co combine​
October 30, 2017 / 10:17 AM / in 19 days

BRIEF-‍Strayer Education Inc and Capella Education Co combine​

Oct 30 (Reuters) - ‍Strayer Education Inc

* ‍Strayer Education Inc and Capella Education Company combine​

* Strayer Education Inc - ‍merger is expected to be accretive to Strayer’s EPS by approximately 20% to 25% by 2019​

* Strayer Education Inc - ‍Strayer will be remaining corporate entity under which both universities will operate after deal​

* Strayer Education Inc - ‍implied equity value of combined company is approximately $1.9 billion​

* Strayer Education - co and Capella will combine in all-stock merger with Capella shareholders to get 0.875 Strayer shares for each Capella share​

* Strayer Education Inc - ‍merger expected to be tax-free to shareholders of both companies​

* Strayer - ‍upon deal closing, Strayer shareholders will own about 52%,capella shareholders will own about 48% of combined co on a fully diluted basis​

* Strayer Education - ‍upon deal closing, Robert Silberman will be executive chairman, Kevin Gilligan will be vice chairman of combined entity​

* Strayer Education Inc - upon deal closing, Strayer Education Inc will be renamed Strategic Education Inc​

* Strayer Education Inc - ‍upon closing of transaction, Karl McDonnell will be chief executive officer of combined entity​

* Strayer Education Inc - ‍Strayer’s board will be increased to 12 directors total - with three to be nominated by Capella on closing​

* Strayer Education - ‍merger of organizations expected to achieve annual cost savings of about $50 million to be fully phased in within 18 months of closing​ Source text for Eikon: Further company coverage:

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