Educate, Inc. sold to management & investors.mducate, Inc. (Baltimore, MD), a provider of supplemental education services and products for the pre-K-12 education market, has entered into an agreement to be acquired by a group of investors that includes the company's Chairman and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. , as well as Sterling Capital Partners (Charlotte, NC) and Citigroup Private Equity (New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of ) for $8 per share, or about $535 million, including assumed debt. The purchase price is 1.5 times the company's 2005 revenue of $350.96 million and 10.2 times Educate's EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) A metric used to show a company's profitability, but not its cash flow. EBITDA became popular in the 1980s to show the potential profitability of leveraged buyouts, but has become of $52.4 million. Revenue for the first nine months of 2006, ending September 30, increased 9%, going from $253.8 million in 2005 to $276.7 million in the first nine months of 2006. However, the company had a net loss in the period of $870,000 compared to a net gain of $20.1 million in the same period in 2005. Per share price went from $7.58 on Jan. 26 to $7.82 at the close of Jan. 31. Educate, Inc. is a provider of supplemental education services to pre-K-12 students and their families. The company's divisions include: Sylvan Learning Sylvan Learning (formerly Sylvan Learning Center) is a chain of franchised tutoring centers which provide personalized tutoring in reading, writing, mathematics, study skills and test-prep for college entrance and state exams. , a company that operates a network of tutoring centers, providing supplemental, remedial and enrichment instruction; Hooked on Phonics  This article or section is written like an .Please help [ rewrite this article] from a neutral point of view. Mark blatant advertising for , using . , a unit that delivers early reading, math and study skill programs; and, Catapult Learning, a provider of educational services to public and non-public schools. |
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