British publishing giant Pearson plc sold its United States' K12 courseware business to American investment management firm Nexus Capital Management LP in a deal worth $250 million, according to its official press release published on Monday.
"Total proceeds comprise an initial cash payment of $25m and an unconditional vendor note for $225m expected to be repaid in three to seven years. Following the repayment of the vendor note, Pearson is entitled to 20% of all future cash flows to equity holders and 20% of net proceeds in the event the business is sold," the statement said.
Pearson said that the move to sell its courseware unit is a part of the company's way "to become a simpler and more efficient company, focused on fewer, bigger opportunities that contribute towards growth and our digital transformation." However, the publisher stressed that it will continue to invest in US K12 market and digital services provided to schools.
