Platinum Equity has entered into a definitive agreement to acquire McGraw Hill, a global leader in educational content and digital platforms, from funds (the "Apollo Funds") managed by affiliates of Apollo Global Management, Inc. (together with its consolidated subsidiaries, "Apollo") for a purchase price of approximately $4.5 billion.
Founded in 1888, McGraw Hill provides outcome-focused learning solutions to millions of students globally, delivering both curated content and digital learning tools and platforms to the classrooms of approximately 250,000 higher education instructors, 13,000 pre-kindergarten through 12th grade school districts, and a wide variety of academic institutions, professionals and companies. Its products are distributed in more than 100 countries across the Americas, Asia-Pacific, Europe, India and the Middle East.
Today, McGraw Hill generates more than $1 billion a year in revenue from digital products and has grown digital as a percentage of revenue from less than 25% in 2013, at the time of the Apollo Funds’ acquisition, to more than 60% today and over 80% in its Higher Education business. Since 2013, McGraw Hill completed six digitally focused acquisitions and transformed the business to drive digital growth, higher recurring revenues and margin expansion.
McGraw Hill CEO Simon Allen and his senior leadership team will continue to lead the business under Platinum’s ownership.
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