NEW YORK — October 11, 2022 — Berkery Noyes, an independent mid-market investment bank, today released its third quarter 2022 mergers and acquisitions trend report for the Education Industry.
The report analyzes M&A activity for the sector during third quarter 2022 and compares it with second quarter 2022. This market includes information and technology companies servicing the Education Industry, including the K-12, Post-Secondary, Childcare Services, and Corporate and Professional Training segments.
Total transaction volume in third quarter 2022 improved by eight percent over second quarter 2022. Total transaction value during this timeframe more than doubled, from $2.3 billion to $4.9 billion.
M&A activity in the K-12 Media and Tech segment remained nearly constant over the second quarter. The overall industry’s largest transaction in the third quarter and year-to-date was Roper Technologies’ announced acquisition of Frontline Education, a cloud-based software provider that offers a connected platform of administrative solutions for K-12 education, for $3.4 billion. Other notable segment transactions included Scholastic Corporation’s acquisition of Learning Ovations, the creator of A2i (“Assessment to Instruction”), a literacy screening, progress monitoring assessment and instructional planning system; and Renaissance Learning’s acquisition of Illuminate Education, a provider of MTSS (Multi-Tiered System of Supports) solutions to K-12 schools across the United States.
Regarding the Professional Training Services segment, volume increased 20 percent over the second quarter. The combined Professional Training Technology and Services segments accounted for 37 percent of aggregate volume during the third quarter.
As for other select markets, volume in the Higher-Ed Media and Tech segment improved 75 percent over the second quarter, from 12 to 21 acquisitions; and deal flow in the Childcare Services segment more than doubled, from five to 11 acquisitions.
A copy of the EDUCATION INDUSTRY M&A REPORT FOR THIRD QUARTER 2022 is available at the Berkery Noyes website.