Thoughts?
3 replies (most recent on top)
Bankruptcy is just one possibility. Take a look at what's happened at other schools, and you see different scenarios. In some cases, schools continue under different companies, whether public, private or non-profit. Warburg Pincus, at this point, holds most of the cards.
No they will not go Bankrupt. BPE has over $300mil in the bank, so they are not in danger of going that route. However it is very likely they will be bought out by an investment firm or another For Profit company.
As they will no longer have a physical school. it will be much easier for them to sell the business but also in the long run can help them turn a profit. Or eventually close down altogether, but them being a public company that would make it very difficult to do unless the govt. makes them close(not likely).
One other possibility is they do a stock buy back and go private.
NOTE: their next earnings call is March 8th. should be interesting.
100%