Education Management Is Acquired

Education Management ( EDMC), a provider of post-secondary education, agreed to be acquired by Providence Equity Partners and Goldman Sachs Capital Partners for about $3.4 billion.

The buyers, two private equity companies, will acquire all of Education Management's shares for $43 apiece, representing a premium of 16.3% over Friday's closing price of $36.98.

The transaction is expected to close in the summer of 2006.

"This transaction offers great value to our stockholders. Our new partners are world-leading private equity firms that believe in our commitment to investing in our people, academic programs, technology and facilities to assure the highest standards of excellence," the company said.

In premarket trading, Education Management rose $4.99 to $41.99.

This story was created through a joint venture between TheStreet.com and IRIS.

More from Education

Best Ways to Save for Retirement - Even When You're Living Paycheck to Paycheck

Best Ways to Save for Retirement - Even When You're Living Paycheck to Paycheck

The 'Hidden Tax' That's Hiking Your Student Loan Costs

The 'Hidden Tax' That's Hiking Your Student Loan Costs

Back on Track: Recovering From Bankruptcy

Back on Track: Recovering From Bankruptcy

Push Off Social Security Until Age 70

Push Off Social Security Until Age 70

How to Get a Mortgage Even If You Have 'Crippling' Student Loan Debt

How to Get a Mortgage Even If You Have 'Crippling' Student Loan Debt