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Strayer Education buys Capella

Mark Reilly
American City Business Journals

Strayer Education Inc. said Monday that it is acquiring Capella Education Inc., the Minneapolis-based online university, in a deal that values the combined companies at $1.9 billion. Capella shareholders will own about 48 percent. Capella stockholders will receive .875 shares of Strayer for each Capella share (which values Capella at about $80 a share, well above its $65.50 price last week.