With no end in sight to the government-shut political standoff in Washington, the US IPO market is expected to experience a significant slowdown just as it was starting to show signs of life again.
Some companies are nevertheless making progress with their listings.
Phoenix Education Partners, parent company of the profitable University of Phoenix, which announced its IPO plans a day before the shutdown began, said Wednesday it has priced its shares at $32. That’s the midpoint of the previous target range of between $31 and $33 per share.
The company plans to list on the New York Stock Exchange (NYSE) under the ticker symbol “PXED.” Selling shareholders will tender approximately 4.3 million shares of common stock, with Morgan Stanley, Goldman Sachs, BMO Capital Markets and Jefferies serving as lead bookrunners.
At the offer price, Phoenix Education has a rating of about $1.14 billion, Bloomberg reported.
“An attractive and growing sub-segment”
The University of Phoenix has been in existence for nearly 50 years and has been accredited since 1978, according to one company prospectus filed with the Securities and Exchange Commission (SEC). The school focuses on online adult education, where most students are already employed and want to advance their career in some way.
“Adult students represent an attractive and growing sub-segment of the higher education market,” Phoenix Education wrote in its prospectus. “However, they face unique challenges not addressed by traditional programs designed for 18- to 22-year-olds, including the time constraints and responsibilities of work, community and dependent care.”
The school says it enrolled an average of 82,700 students seeking degrees in the first nine months of this fiscal year. About 70% of students seek a bachelor’s degree, with business and IT being the most popular areas of study, followed by healthcare and behavioral and social sciences.
Is the University of Phoenix profitable?
Unlike some of the high-profile tech startups that have gone public this year, the University of Phoenix is already profitable.
It generated net income of $115 million on revenue of $950 million last year, compared to net income of $52 million on revenue of $801 million in 2022, according to SEC filings.
What else is there to know?
Phoenix Education is backed by Apollo Global Management and investment company Vistria Group, with the former being the majority shareholder. The company is expected to list its shares sometime after the opening bell today (October 9, 2025).
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