Thread regarding DeVry Inc. layoffs

Illinois Board of Higher Ed. Approved Transfer

From the June 5th Illinois Board of Higher Education Minutes (available at https://ibhe.org/board/2018/june/VI3.pdf), IBHE seemingly granted DVU "operating authority" under its new owners:

"Under the proposed transaction, the closing of which is conditioned upon receipt of various

regulatory agency reviews, including the approval of operating and degree granting authority by

the Illinois Board of Higher Education, the Higher Learning Commission’s approval to maintain

accreditation and pre-acquisition review by the U.S. Department of Education, Cogswell

Education, LLC (“Cogswell Education”) will acquire DeVry University, Inc. Cogswell Education

is a limited liability company with its sole member being Cogswell Capital, LLC. The new

ownership corporation intends that operations will continue at the previously-approved locations.

Upon approval of the operating authority by the Board, all previously approved programs will be

presented to the Board for consideration."

And from Appendix D:

"The staff concludes that DeVry University meets the criteria in Sections 1030.30 and

1030.60 of the rules to implement The Private College Act (110 ILCS 1005) and The Academic

Degree Act (110 ILCS 1010) and the Illinois Board of Higher Education policies pertaining to

assessment and accreditation for licensure."

So anyone know what other clearances DVU needs to become a Swell Cog instead of an Sad Tale?

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| 1611 views | | 4 replies (last June 28, 2018) | Reply
Post ID: @OP+TLIkjIS

4 replies (most recent on top)

Next step has progressed: Higher Ed. Department has "tentatively" approved the sale.

https://www.insidehighered.com/quicktakes/2018/06/28/education-dept-tentatively-approves-devry-sale

Still needs to clear HLC.

Text of the DOE letter is here:

https://www.sec.gov/Archives/edgar/data/730464/000115752318001345/a51828678_ex991.htm

The text of the letter is very interesting, as it places multiple conditions on the transfer, including not starting any new programs, except to replace any shut down after the transfer, enrollments capped at day of transfer, and of course maintaining the $68 Million held by DOE as a "letter of credit".

Bradley Palmer listed in the letter as a "Level 4 Owner" after the change in ownership.

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Post ID: @8esr+TLIkjIS

HLC also accredits University of Phoenix.

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Post ID: @1dmi+TLIkjIS

Right, nothing is finalized yet, but this approval is a mandatory requirement in the 10-K filing under Condition 4(c) of the Transfer Agreement:

(c) the receipt of other federal and state educational consents with respect to the Transaction without certain conditions or restrictions on the business operations of the University

https://www.sec.gov/Archives/edgar/data/730464/000115752317003181/a51724790.htm

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Post ID: @cbt+TLIkjIS

this could be just Adtalem lawyers doing usual paperwork to keep the things going. Not indicative of whether Palm Ventures shell company Cogwell Education would actually be closing the deal.

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Post ID: @iwl+TLIkjIS

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