UK-based distance learning provider The Skills Network is exploring a sale process that is expected to start in the coming weeks, EducationInvestor Global can reveal.
This publication has learnt that the company is hiring an adviser to run a sale that will market the asset off an EBITDA of around £5 million, according to two sources close to the process. The company is expected to reach a valuation in the 10-15x region, one of the sources added.
The Skills Network offers a wide range of distance learning courses and apprenticeships across multiple fields and subject areas, for both individuals trying to gain knowledge and improve career prospects, and employers looking for online training courses for staff.
“This is a fully digital business with high-growth potential, which is likely to exceed market expectations, especially in this environment driven by strong digitalisation trends,” a source close to the company said.
The Skills Network generated turnover of £13 million in the year ended 31 July 2020, down from £16 million in 2019. Its operating profit was £1.5 million in 2020, from £2.3 million in 2019, according to its latest Companies House filing.
Date published: 25 April 2022