Apollo Group Inc. Closes University of Phoenix Online Offering.Business Editors PHOENIX--(BUSINESS WIRE)--Oct. 3, 2000 Apollo Group Inc. (Nasdaq:APOL APOL Asia Pacific Online APOL Alternate Person on Line ) Tuesday announced the closing of the sale of 5,750,000 shares (including 750,000 shares to cover underwriters over-allotments) of University of Phoenix Online tracking stock, raising $80.5 million. University of Phoenix Online, which had an initial public offering price of $14.00 under the ticker symbol Ticker Symbol An arrangement of characters (usually letters) representing a particular security listed on an exchange or otherwise traded publicly. When a company issues securities to the public marketplace, it selects an available ticker symbol for its securities which investors UOPX UOPX University of Phoenix , closed yesterday at $21.625. John Sperling, chairman and chief executive officer, commented, "Investors have recognized the growth potential of University of Phoenix Online. We were very pleased with the success of this offering." Net proceeds Net Proceeds The amount received after all costs are deducted from the sale of a piece of property or security. Notes: In the case of an investor selling a security, net proceeds represent the proceeds from the sale minus any trading costs (i.e. commissions). from the offering were $73.8 million, after deducting underwriting discounts and commissions and offering expenses of $6.7 million. All of the net proceeds will be allocated to University of Phoenix Online to provide working capital to increase marketing and sales activities over the next 18 to 24 months to accelerate the growth of University of Phoenix Online's business. Apollo Group Inc. has been providing higher education programs to working adults for over 25 years. Apollo Group Inc., operates through its subsidiaries the University of Phoenix Inc., the Institute for Professional Development, the College for Financial Planning Financial planning Evaluating the investing and financing options available to a firm. Planning includes attempting to make optimal decisions, projecting the consequences of these decisions for the firm in the form of a financial plan, and then comparing future performance against Institutes Corp., Western International University Inc. and Apollo Learning Group Inc. The consolidated enrollment in its educational programs makes it the largest private institution of higher education in the United States Higher education in the United States refers to colleges and universities within the United States. Overview The American university system, like the American educational system in general, is highly decentralized because the U.S. . It offers educational programs and services at 52 campuses and 92 learning centers in 35 states, Puerto Rico and Vancouver, British Columbia. Combined degree enrollment was approximately 94,300 students as of May 31, 2000. For more information about Apollo Group Inc. and its subsidiaries, call 800/990-APOL or visit Apollo on the World Wide Web at http://www.apollogrp.edu. This press release includes statements which may constitute forward-looking statements made pursuant to the safe harbor provision of the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995. This information may involve risk and uncertainties that could cause actual results to differ materially from the forward-looking statements. |
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