BPP Holdings Gets PE-Backed Approach

(Reuters) – British education and training company BPP Holdings Plc (BPP.L) said on Wednesday it had received a preliminary approach from Apollo Global at 620 pence per share in cash.

The approach was at a 70 percent premium to BPP’s closing price on Tuesday. It valued BPP at 303.5 million pounds ($447 million), based on the 48.9 million shares outstanding as of March 16, according to Reuters data.

It is in the shareholders’ interests to have further talks with Apollo Global due to the cash nature and premium of the potential offer, even though the company has a strong future as an independent business, BPP said.

Apollo Global, a joint venture formed to invest in the education services sector, is 80.1 per cent owned by Apollo Group Inc (APOL.O), the parent company of the University of Phoenix, and 19.9 per cent owned by private equity firm The Carlyle Group [CYL.UL].

(Reporting by Usman Merchant in Bangalore; Editing by Gopakumar Warrier and Dan Lalor) ($1 = 0.6796 pound)