2U Inc has closed its previously announced acquisition of Trilogy Education Services Inc, a workforce accelerator that prepares adult learners for careers in the digital economy. No financial terms were disclosed; however, an earlier report on this transaction pegged the amount at $750 million. Trilogy’s backers included Highland Capital Partners, Macquarie Capital, Exceed Capital, Rethink Impact, City Light Capital and Triumph Capital LLC.
LANHAM, Md. and NEW YORK, May 22, 2019 /PRNewswire/ — 2U, Inc. (Nasdaq: TWOU), a global leader in education technology, today closed its previously announced acquisition of Trilogy Education Services, Inc., a workforce accelerator that prepares adult learners for high-growth careers in the digital economy. The closing of the transaction brings together two of the world’s leading education companies and positions Trilogy as a 2U, Inc. brand.
“Technology is transforming and redefining the future of work globally. More people at more stages in their lives are investing in themselves and their futures, upskilling and reskilling to keep pace and remain competitive in the job market,” 2U Co-Founder and CEO Christopher “Chip” Paucek said. “With our growing portfolio of now 68 great university partners, 2U is well positioned to deliver the in-demand skills working adults need–whether that’s through a degree, professional certificate, boot camp, or short course.”
“Trilogy was created to help communities across the world better prepare for the changing workforce. Our fast growth is a testament to the winning collaborations between working professionals, universities, and employers,” Trilogy Founder and CEO Dan Sommer said. “Together with 2U, our combined reach and impact will better serve even more students in even more places throughout more of their lives. We are uniquely solving an otherwise unmet need in our global economy.”
The combined company will expand 2U’s offerings across the career curriculum continuum and accelerate the company’s anticipated path to $1 billion in revenue by a year from 2022 to 2021. The strategic benefits of the acquisition include:
Increasing 2U’s university portfolio from 36 to 68 partners, including The University of Western Australia and the University of Connecticut, which launched Trilogy-powered boot camps in the last month.
Adding relevant, technical, skills-focused products and curriculum to 2U’s portfolio, supplementing and complementing existing online degree and short course offerings.
Providing 2U with in-house expertise in running and operating in-person boot camps.
Expanding 2U’s existing presence in Mexico and Europe and establishing 2U’s presence in the Australian and Canadian markets.
Creating a more robust enterprise channel to compete in the $366 billion lifelong learning and corporate training market.
2U and Trilogy have proven track records of helping the world’s best universities expand and deliver on their missions in the digital age. Together, the companies have reached more than 150,000 adult learners, and 2U will now power more than 250 unique educational offerings across its portfolio.
About 2U, Inc. (Nasdaq: TWOU)
Eliminating the back row in higher education is not just a metaphor–it’s our mission. For more than a decade, 2U, Inc., a global leader in education technology, has been a trusted partner and brand steward of great universities. We build, deliver, and support more than 250 digital and in-person educational offerings, including graduate degrees, professional certificates, Trilogy-powered boot camps, and GetSmarter short courses. Together with our partners, 2U has positively transformed the lives of more than 150,000 students and lifelong learners. To learn more, visit 2U.com. #NoBackRow