Education & Training M&A Update

RESOURCE HIGHLIGHTS

• In Q1, the Education & Training sector index decreased 2.1% and was outperformed by the S&P 500 index, which increased 10.8% over the same period.
• The median EV/EBITDA multiple for reported strategic deals decreased to 8.8x in Q1 from 9.6x in 2023. There were no reported EV/EBITDA multiples for private equity deals in Q1.
• Deal volume in the Education and Training sector decreased 15.8% in Q1 to 170 deals from 202 deals in Q4 2023, and decreased 40.8% from 287 deals in Q1 of the prior year.
• As a % of total capital invested in M&A transactions in Q1, PE participation decreased to 72.8%, down from 83.1% in the prior year.
• North America was the most active region in Q1 with 69 deals. Most notable in the North American market was Instructure’s $835.0 million buyout of Parchment in February 2024.