DeVry Education Group, Inc.DV named Lisa Wardell as the new chief executive officer of DeVry Group, effective May 24. The education company also provided an update on its latest acquisition.
Wardell has been a member of the DeVry Group board of directors since 2008. She is also the present executive vice president and chief operating officer of the RLJ Companies. She succeeds the present CEO of nine years, Daniel Hamburger, who is leaving DeVry Group.
DeVry Education Group also announced that its subsidiary, Becker Professional Education entered into an agreement to acquire the Association of Certified Anti-Money Laundering Specialists (ACAMS) for $330 million.
ACAMS is an international membership organization, owned by a global private equity firm Warburg Pincus. ACAMS provides online and in person training on knowledge and skills related to anti-money laundering (AML) and financial crime prevention. The institution offers credentialing through its CAMS certification, conferences, and risk assessment tools. ACAMS is expected to generate revenues in the low $40 million range in fiscal 2017.
The acquisition is expected to close in Jul 2016, provided the regulatory requirements approvals are cleared.
The acquisition is expected to strengthen DeVry's portfolio by adding a career oriented program that has strong demand in the job market. Also, it will extend Becker's geographic presence as about 40% of ACAMS' revenues are generated outside Becker's global footprint.
These acquisitions offer long-term growth opportunities for DeVry. Such acquisitions enable it to grow and diversify into new program areas, levels and geographical locations, and build high-quality brands to compete in an increasingly competitive market. Over the near term, DeVry is looking for acquisitions in the fields of health care, professional and international education.
DeVry carries a Zacks Rank #3 (Hold).
Stocks to Consider
Some better-ranked stocks in the education industry include American Public Education, Inc. APEI Lincoln Educational Services Corporation LINC , and New Oriental Education & Technology Group Inc. EDU . While American Public Education sports a Zacks Rank #1 (Strong Buy), Lincoln Educational Services and New Oriental Education & Technology hold a Zacks Rank #2 (Buy).
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