University of Phoenix Owner Soars in NYSE Debut, valuing Company at $1.35 billion
NEW YORK – Shares of Phoenix education Partners, teh owner of the University of Phoenix, surged 19% in its initial public offering on the New York Stock Exchange, giving the company an approximate valuation of $1.35 billion, Reuters reported today. The strong market entry signals renewed investor confidence in the education sector adn provides a successful exit for its private equity backers.
The education provider, supported by Apollo Global Management and Vistria group, priced its IPO at $32 per share – the midpoint of its expected range – raising $136 million through the sale of 4.25 million shares. Trading opened at $38 and continued to climb throughout the morning.
This listing marks a meaningful return to the public market for the University of phoenix, which was taken private in 2016 by Apollo and Vistria in a $1.1 billion deal, then known as Apollo Education Group.
Founded in 1976 by John Sperling, the University of Phoenix focuses on providing higher education opportunities for working adults. As of fiscal year 2024, the university reported nearly 79,000 degree-seeking students, with an average student age of 37.
The IPO comes as private equity firms increasingly seek exit strategies amid improving market conditions, driven by falling interest rates and positive equity market momentum. Sponsors are leveraging public listings to unlock value within their portfolios.
Despite a recent U.S.government shutdown that temporarily impacted staffing at the Securities and Exchange Commission, the offering proceeded after the SEC approved the company’s registration statement just hours before the shutdown took effect on September 30.
Apollo and Vistria remain the majority shareholders of Phoenix Education Partners following the successful IPO.
