Providence Equity Partners has generated a 3x return on its sale of education company Archipelago Learning, a realisation that may help quiet skeptics who had previously expressed doubts regarding the firm’s ability to raise its seventh fund targeting $6 billion.
Providence invested about $84 million for a 77 percent stake in Archipelago, formerly known as Study Island, in 2007, according to documents filed with the US Securities and Exchange Commission.
Providence in 3x education exit
Providence Equity Partners’ $291m sale of Archipelago Learning to Thoma Bravo represents its second sizeable exit during the past few months and a much needed realisation as the firm tries to attract commitments for its next fund, targeting $6bn.
