$7/share in cash and the majority of the company intact....private equity took the international...a competitor or domestic private equity will come knocking and soon price for shares will be close to $15. Much of the issues haunting the industry are fading. Have been in the shares for awhile for this potential. Thank you Mr. Blum for allowing me to acquire shares at a great price.
extremely unlikely that PE or competitor will come knocking. The European situation is quite different. First of all, it was growing and profitable. More importantly, they are not subject to the same onerous regulation the US for-profit ed companies are facing. There's too much uncertaintly in the regulation for someone to pay a premium to control the company. Looking forward to the upcoming earnings annoucement to see how the cost reduction efforts are playing out. The current trailing 4 quarter Operating Loss is roughly $200 million which is worse than the FY12 Operating Loss of $183 million. However, the margin improved....it's the continued slide of the revenue that is the biggest issue. Hopefully we'll hear some good news about new starts and total enrollment. I have never had a position in this stock (short or long).
agree that this was a good short term move by the CEO. It raised a precious commodity...cash. However, longer term it could hurt. The international business was profitable and growing and not subject to the same regulatory issues as the domestic business.