Providence Equity Partners has struck a deal to take an American listed education software company private.
The $45-per-share offer is at a 4 per cent premium to the $43.39 at which Blackboard closed on Thursday. Providence will also roll over about $130 million of the Washington-based company’s debt.
Blackboard, which provides custom software to educational institutions for computer-aided learning and classroom courses, said in April that it had received several buyout offers and was considering selling itself.
Providence, which invests mainly in media, communications and education, owns several assets in the sector. The private equity group is the fifth-biggest shareholder in ITT Educational and is a shareholder in Archipelago Learning.
The $1.64 billion (£1 billion) deal is expected to close in the fourth quarter and Blackboard’s management will stay on.