WEST ORANGE, N.J.
/PRNewswire-FirstCall/ -- Lincoln Educational Services Corporation (Nasdaq: LINC) ("Lincoln") announced today that it has entered into a definitive stock repurchase agreement with Back to School Acquisition, L.L.C., its principal shareholder ("BTS"), to repurchase 1,250,000 shares of
common stock concurrently with BTS' sale of an additional 750,000 shares of
common stock in a block trade pursuant Rule 144 under the Securities Act of 1933, as amended. The proposed repurchase transaction was evaluated and approved by directors of
Board who are not also affiliated with BTS. The Board also received a fairness opinion that the terms of the repurchase from BTS are fair to
from a financial point of view. Under the terms of the repurchase agreement, closing of the repurchase is conditioned upon, among other things, the completion of BTS' block trade.
The repurchase represents 3.7% of
common stock currently outstanding and, together with the shares sold in the block trade, will reduce BTS' beneficial ownership interest in
from approximately 37.9% to 31.7%. Lincoln will have approximately 25.9 million shares of common stock outstanding after the repurchase, which
expects to close in the near future. Lincoln will use available cash to purchase the shares.
About Lincoln Educational Services Corporation
Lincoln Educational Services Corporation is a leading and diversified for-profit provider of career-oriented post-secondary education.
offers recent high school graduates and working adults degree and diploma programs in five principal areas of study: automotive technology, health sciences, skilled trades, business and information technology and hospitality services.
has provided the workforce with skilled technicians since its inception in 1946.
currently operates 43 campuses in 17 states under 11 brands:
Lincoln Technical Institute
Nashville Auto-Diesel College
, Euphoria Institute of Beauty Arts and Sciences, Connecticut Culinary Institute, Americare School of Nursing, Baran Institute of Technology, Engine City Technical Institute,
had a combined average enrollment of approximately 31,500 students as of
September 30, 2009