Laureate reaches new deal to sell Brazilian operations, settle dispute with original buyer – Baltimore Business Journal
Laureate Education Inc. has agreed to a new deal for the sale of its Brazilian operations with a total value of about $765 million, $40 million more than it would have originally received under a previous agreement.
The Baltimore-based company, which runs for-profit college and universities, will sell its Brazilian assets to Anima Holding S.A. Laureate (NASDAQ: LAUR) also said it has also settled legal proceedings with Ser Educacional S.A., a Brazilian public company Laureate had originally agreed to sell its Brazilian operations to in September.
The latest agreement, announced Monday, includes cash considerations of 3.8 billion Brazilian Real, or more than $658 million based on currency exchange rates. Laureate will be entitled to receive up to approximately $35 million more in cash if certain metrics are achieved following the closing.
Laureate and Ser Educacional simultaneously agreed to terminate their previously announced transaction. Anima will pay Laureate’s termination fee to Ser of 180 million Brazilian Real, or $31 million in U.S. cash. Laureate’s sale to Anima is expected to close in the second quarter of 2021.
“This strong outcome serves all of our stakeholders well,” Laureate CEO Eiliff Serck-Hanssen said in a statement. “We are confident that our Brazilian institutions will thrive under Anima’s ownership.”