Franchise Group Acquires Tutoring Franchisor Sylvan Learning For $81M

by Shivani Kumaresan, Benzinga Staff Writer

September 27, 2021 11:00 AM | 1 min read | Make a Comment

Franchise Group Inc FRG has completed the acquisition of Sylvan Learning, a tutoring franchisor for Pre-K-12 students and families in the U.S., in an all-cash transaction valued at about $81 million.
Sylvan currently has more than 700 locations in 49 states, including more than 560 physical centers.
Franchise Group anticipates the acquisition to be immediately accretive to earnings.
For Franchise Group's FY21, Sylvan is estimating total systemwide revenue of $169 million and adjusted EBITDA of about $12 million.
Franchise Group financed the deal with available cash. It held $184.67 million in cash and equivalents as of June 30, 2021.
Price Action: FRG shares are trading higher by 5.71% at $37.57 on the last check Monday.

Posted In: M&A News Small Cap Movers Trading Ideas Briefs

Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.