Instructure's Acquisition Boosts Growth with KKR and Dragoneer

Instructure's Strategic Acquisition Fuels Expansion Plans

Investment to support newly private company's plans for product innovation and worldwide growth

Instructure Holdings, Inc. has announced the successful completion of its acquisition by KKR and Dragoneer. This move signals a significant transformation for Instructure, a pioneering learning ecosystem known for its impactful educational solutions. The acquisition, completed at $23.60 per share, reflects an enterprise value around $4.8 billion, marking a pivotal moment in the company’s journey.

Enhancing Educational Outcomes Globally

As a leading provider of educational technology, Instructure plays a crucial role in shaping the futures of countless learners. By offering state-of-the-art learning management and credentialing solutions, Instructure has positively influenced over 200 million educational experiences across more than 100 countries. With a growing ecosystem that includes over 1,000 partners, Instructure is poised to broaden its reach and further its commitment to delivering robust learning tools.

A Vision for Future Growth

Steve Daly, Instructure’s CEO, expressed enthusiasm about entering this new chapter. He noted, "We could not be more excited to begin the next phase of our journey, empowering institutions and companies as they enhance learning outcomes for students of all ages. With KKR’s backing, we can accelerate our growth strategy, reach new markets faster, and innovate continuously within the Instructure Learning Ecosystem." This commitment highlights the company’s role as a major player in educational technology, working toward raising the bar for learners and educators alike.

The Support of KKR and Dragoneer

Webster Chua from KKR echoed this sentiment, stating, "Instructure has established itself as a vital partner within the educational community. Our goal is to enhance its global platform, ensuring that Instructure continues to grow and adapt in the rapidly changing educational landscape." Likewise, Christian Jensen from Dragoneer emphasized, "Our partnership with KKR to support Instructure is built on a solid foundation of shared values and commitment to excellence. Together, we aim to drive transformative developments within the global education market." This collective effort underscores the strategic alignment of all parties involved.

The Role of Advisors

The acquisition saw the involvement of several key financial advisors, reinforcing the strategic importance of this move. J.P. Morgan Securities LLC served as the lead financial advisor to Instructure, with Macquarie Capital also lending expertise. KKR's advisory team included notable firms such as Morgan Stanley, UBS, and others, showcasing the high stakes of this significant transaction.

About Instructure

Instructure is dedicated to facilitating a robust education framework worldwide. Its mission revolves around equipping learners with the necessary credentials to seize opportunities throughout their lives. The company’s products foster inclusive learning experiences, enhance educator effectiveness, and empower institutions to uplift student achievements on a global scale. As Instructure continues to innovate and expand its ecosystem, it maintains a firm commitment to its vision of long-term educational empowerment.

About KKR and Dragoneer

KKR is renowned for its investment acumen, focusing on generating substantial returns through a disciplined investment strategy. The firm champions growth and innovation within its portfolio companies, offering a spectrum of asset management solutions. Dragoneer Investment Group complements this by concentrating on growth-oriented investments, with a strong track record of partnering with superior quality businesses. Both firms share a passion for enhancing the educational landscape, reflecting their confidence in Instructure’s potential.

Frequently Asked Questions

What was the amount paid per share for Instructure in the acquisition?

The acquisition was completed at $23.60 per share, reflecting a total enterprise value of approximately $4.8 billion.

Who were the key players involved in this acquisition?

The acquisition involved investment funds managed by KKR and Dragoneer, bolstering Instructure's growth and innovation strategy.

How has Instructure impacted education globally?

Instructure has positively affected approximately 200 million learners across more than 100 countries by providing advanced learning management and credentialing solutions.

What are Instructure's goals following the acquisition?

Instructure aims to innovate further, expand its educational solutions, and achieve $1 billion in revenue by 2028, supported by KKR and Dragoneer.

What role does KKR play in the educational technology sector?

KKR supports growth and innovation in companies like Instructure, leveraging its global platform to enhance the reach and effectiveness of educational technology solutions.

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