PHOENIX — The University of Phoenix — the first to introduce an online education platform for adult learners — is being acquired for $550 million.
The Idaho State Board of Education voted unanimously to approve University of Idaho's plans to create a nonprofit organization to buy and manage UOP as a nonprofit university.
The University of Idaho is creating a new nonprofit called NewU Inc., which the Regents of the University of Idaho will serve as the sole member with authority to appoint and remove the directors of NewU Inc., according to board minutes filed with the Idaho State Board of Education.
NewU will finance the acquisition with a $685 million capital raise, which includes the $550 million purchase price, $26 million for working capital and liquidity, as well as another $68.2 million for required reserves and $40 million in issuance costs.
