Cherry Tree Advises xSEL Labs on its Sale to 7 Mindsets

Cherry Tree Advises xSEL Labs on its Sale to 7 Mindsets

xSEL Labs

Cherry Tree Advises xSEL Labs on its Sale to 7 Mindsets

7 Mindsets Continues Rapid Growth with Acquisition of xSEL Labs

Move strengthens company’s ability to help educators understand students’ social and emotional strengths and needs

ROSWELL, Ga., Jan. 31, 2023 (GLOBE NEWSWIRE) — 7 Mindsets, the leader in PreK-12 mindsets-based learning and well-being solutions, today announced the acquisition of xSEL Labs, a creator of scalable systems to assess and address the social and emotional needs of children. This acquisition further solidifies 7 Mindsets as the most comprehensive social and emotional learning solution for schools and districts across the country and strengthens the company’s offering of high-quality, multi-tiered SEL instruction and assessment supporting teaching, learning, and student success.

“Today SEL is embedded into the work of school districts more than ever before and it’s critical we continue helping district administrators provide comprehensive social and emotional learning solutions for all members of their school communities,” said Mark Belles, CEO of 7 Mindsets. “The acquisition of xSEL Labs bolsters our high-quality assessment offerings and we’re thrilled to provide educators more insight into their students’ SEL skills as well as help them identify areas for improvement and inform the development of more targeted interventions.”

xSEL Labs’ core assessments directly measure students’ social and emotional learning strengths and needs. Assessment results help educators decide what to teach to whom, and measure student learning in response to instruction. xSEL Labs also offers brief climate surveys and educator surveys.

The combination of xSEL Labs, 7 Mindsets, and the recently acquired BASE Education, a social and emotional learning and mental health platform, will enable the company to offer a flexible and highly effective range of SEL assessment and instructional resources to address children’s social and emotional strengths and needs and achieve better outcomes for all students.

“This is an exciting milestone for xSEL Labs,” said company Founder and President Clark McKown. “We believe in 7 Mindsets’ vision for bringing together Tier I instruction, Tier II and Tier III intervention, and assessment. This is a combination that is greater than the sum of the parts, and I’m excited about what we can do together. Having 7 Mindsets, BASE, and xSEL Labs under one roof, we can offer fantastic assessment and instructional resources individually or together in ways that flexibly meet the needs of our district partners.”

7 Mindsets is a portfolio company of Gauge Capital. xSEL Labs marks the company’s third acquisition since Gauge’s investment in December 2021. In addition to its acquisition of BASE Education earlier this month, the company acquired the Better Together adult SEL program in August 2022.

To learn more about 7 Mindsets, visit www.7mindsets.com.

7 Mindsets
Founded in 2009, 7 Mindsets is a comprehensive social-emotional learning and mental health solution provider for schools and districts across the country, offering high-quality, multi-tiered SEL instruction that supports teaching, learning, and student success. The company’s flexible and highly effective programs have been shown to improve student engagement, behavior, and academic success, and have been used by over 5 million students and educators in all 50 states. Find out more at www.7mindsets.com.

About xSEL Labs
xSEL Labs partners with K-12 schools and districts across the country to assess and address social and emotional learning (SEL) outcomes. xSEL Labs’ core assessment, SELweb, is a reliable and easy-to-use direct assessment of the social and emotional competencies that are reflected in the CASEL framework, state standards, and evidence-based SEL programs. For more information, please visit www.xsel-labs.com

Source: 7 Mindsets

Cherry Tree & Associates provides investment banking services through our FINRA-licensed broker dealer.

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Cherry Tree Advises Concorde Career Colleges on its Sale to Universal Technical Institute

Cherry Tree Advises Concorde Career Colleges on its Sale to Universal Technical Institute

Concorde Career Colleges

Cherry Tree Advises Concorde Career Colleges on its Sale to Universal Technical Institute

“Much thanks to Mike Buttry and the entire team at Cherry Tree. The Title IV post-secondary sector presents many hurdles to investment transactions. Without the expertise, discipline, diligence, and energy of the Cherry Tree team, we might never have completed the sale of Concorde to UTI. Great job!”

— Tim Foster, Chairman, Concorde Education

INDUSTRY:
Higher Education
DESCRIPTION:
Provider of blended, healthcare education programs serving 7,400+ students across 17 campuses in 8 states
LOCATION:
Mission, KS
TRANSACTION TYPE:
100% Sale to a Publicly Traded For-Profit, Higher Education Company

Transaction Overview

In May 2022, Concorde Career Colleges, a leading provider of healthcare education programs, announced it entered into a definitive agreement to be acquired by Universal Technical Institute, a leading provider of transportation and technical training programs, for $50 million. The transaction was completed in December 2022.

Founded in 1968 and based in Mission, KS, Concorde’s blended education model (online coursework with in-person labs classes and clinical experiences) offers diploma and degree programs across nursing, dental hygiene, and other direct patient care fields, as well as allied health including medical and dental assisting and healthcare administration. The Company serves approximately 7,400 students through its 17 campuses in 8 states and reported $180 million in revenue and $13 million in Adjusted EBITDA for calendar year 2021. The schools operated by Concorde Career Colleges are accredited by either the Accrediting Commission of Career Schools and Colleges (ACCSC) or the Council on Occupational Education (COE).
With the addition of the Concorde brand and its portfolio of programs and campuses, Universal Technical Institute will significantly expand upon its already announced growth and diversification plans. Upon completion of the Concorde acquisition, UTI will serve over 20,000 students across 14 states and 31 locations.

“Universal Technical Institute’s brands have a great reputation with both employers and students in transportation and skilled trades. Concorde Career Colleges has a strong reputation in healthcare education, making this an excellent combination for addressing the nation’s skills gap,” said Concorde CEO Jami Frazier. “I am looking forward to the opportunity to join this organization and become one of the preeminent educational providers in the country.”

“The acquisition of Concorde Career Colleges will be a significant next step in our previously announced growth and diversification strategy,” said Universal Technical Institute CEO Jerome Grant. “We take the responsibility of becoming one of this country’s leading workforce solutions providers seriously, and entering the healthcare space allows us to help even more students and support employers as they seek to solve some of their toughest workforce-related challenges.”

Cherry Tree’s Role

Cherry Tree was engaged to assist Concorde, its board of directors and shareholders in exploring a sale of the business. The Cherry Tree team leveraged its education experience and network of potential buyers to create a competitive sale process that resulted in a favorable outcome for the shareholders, employees, and its students. Cherry Tree’s customized process included introductions and discussions with numerous potential acquirers in marketing the opportunity, soliciting proposals, negotiating terms, supporting due diligence, and facilitating the closing of the transaction. And with our client being a regulated business from the U.S. Department of Education, navigating and advising smoothly through a complicated transaction was essential.

About Concorde Career Colleges:

Concorde Career Colleges operates 17 campuses across eight states under the brands Concorde Career College and Concorde Career Institute, focused on preparing America’s next generation of health care and dental professionals for rewarding careers. The Concorde Career Colleges blended education model combines online coursework with in-person lab classes and clinical experiences. Concorde Career Colleges’ 20 student-focused academic programs and personalized support prepare graduates for in-demand careers in nursing, dental, respiratory, diagnostic, and other health care roles. The schools operated by Concorde Career Colleges are accredited by either the Accrediting Commission of Career Schools and Colleges (ACCSC) or the Council on Occupational Education (COE). www.concorde.edu

About Universal Technical Institutes:

Founded in 1965 and headquartered in Phoenix, Universal Technical Institute’s (NYSE: UTI) mission is to serve our students, partners, and communities by providing quality education and support services for in-demand careers. Approximately 250,000 students have graduated from one of Universal Technical Institute’s 14 campuses located across Arizona, California, Florida, Illinois, Michigan, North Carolina, Pennsylvania, New Jersey, and Texas. Universal Technical Institute’s campuses are accredited by the Accrediting Commission of Career Schools and Colleges (ACCSC), while its employer-aligned technical training programs are offered under four brands: Universal Technical Institute, Motorcycle Mechanics Institute / Marine Mechanics Institute, NASCAR Technical Institute, and MIAT College of Technology. www.uti.edu

About Cherry Tree & Associates

Cherry Tree & Associates is a private investment banking firm headquartered in Minneapolis, Minnesota. Founded in 1980, it specializes in M&A transactions for both buyers and sellers of middle market companies. Additionally, it conducts private placements for high quality, entrepreneurially managed growth companies, provides strategic advisory services for CEOs and boards of directors, and prepares fairness opinions and other valuation services. For more information, please visit: www.cherrytree.com.

Cherry Tree & Associates provides investment banking services through our FINRA-licensed broker dealer.

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Cherry Tree Advises Regent Education on its Investment from Attain Capital Partners

Cherry Tree Advises Regent Education on its Investment from Attain Capital Partners

Cherry Tree Advises Regent Education on its Investment from Attain Capital Partners

Regent Education Announces Investment from Attain Capital Partners to Accelerate Growth and Innovation

FREDERICK, Md. , June 8, 2022 /PRNewswire/ — Regent Education, the leading provider of Software as a Service (SaaS) solutions that automate and simplify the financial aid process for higher education institutions offering traditional and nontraditional enrollment models, today announced a significant growth equity investment led by Attain Capital Partners, with participation from Regent’s current lead investors Chrysalis Ventures, CNF Investments LLC, and New Markets Venture Partners. The company also announced that Greg Baroni, Founder and Managing Partner of Attain Capital Partners, will serve as Chair of the Regent Education Board of Directors.

Attain Capital Partners is a private equity firm which invests in expansion and growth-stage companies with innovative, technology-enabled solutions. A tech entrepreneur himself, Baroni helped launch a distributed learning group known as Blackboard—now part of Anthology—that became a first-mover and an industry leader. He has led a diverse portfolio of successful businesses throughout his career, including KPMG Consulting, Unisys, and more recently, Attain, LLC, selling the company’s federal business division in 2021. He also is the Founder and Chief Executive Officer of Attain Partners and Attain Sports and Entertainment.

“When it comes to financial aid software, there is none better than Regent. Their comprehensive, cloud-based solution enables institutions to improve business operations and mitigate compliance risks—all while improving the student experience, which is so essential to expanding access to an affordable post-secondary education,” said Baroni. “We look forward to collaborating with the Regent team as we grow the company and continue to simplify the most complex financial aid scenarios for our clients and the students they serve,” he continued.

“Attain Capital brings a rich understanding of higher education, and their guidance and investment provides considerable support to assisting Regent’s continued growth, scale, and financial aid product innovation,” said Jim Hermens, CEO of Regent Education. “Together, we look forward to accelerating Regent’s forward-leaning solutions for the education industry,” he said.

About Regent Education

Regent Education is the leading provider of Software as a Service (SaaS) solutions that automate and simplify the financial aid process for higher education institutions offering traditional and nontraditional enrollment models. Regent’s solutions encompass the automation of financial aid management, verification processes, student financial planning, and state financial aid applications. These solutions offer institutions an unprecedented ability to automate the financial aid process to increase efficiency, mitigate compliance risks, expand enrollment, improve the student experience, and enhance financial management and financial aid lifecycle visibility. Since its inception, Regent has packaged and delivered $5 billion in financial aid to more than 250,000 students. For more information, visit https://regenteducation.com/.

About Attain Capital Partners

Attain Capital Partners invests in growth-stage companies in the knowledge economy. We seek to partner with firms delivering high-value, technology-enabled solutions and services to businesses predominantly focused on serving the public sector markets, including education, government, healthcare, and nonprofits. Our mission is simple: Truly empower teams while building lasting partnerships that make an enduring, positive impact to improve humankind. For more information, please visit www.attain.capital

About New Markets Venture Partners

New Markets Venture Partners is a leading impact investor that accelerates growth-stage education and workforce technology companies.  The New Markets team has decades of experience supporting evidence-based, high growth companies that improve economic and social mobility by leveraging deep relationships with centers of education and workforce innovation.  New Markets prides itself on adding value to its portfolio companies before, during, and after the investment process, with the ultimate goal of improving both individual outcomes and the productivity of America’s education workforce system.  For more information, visit https://newmarketsvp.com/.

About Chrysalis Ventures

Chrysalis Ventures partners with management teams across mid-America to build businesses with enduring value through technology and active collaboration. Chrysalis Ventures manages more than $400 million and has invested in more than 70 companies during its 25-year history.  Chrysalis Ventures partners with talented management teams by providing the business intelligence, market knowledge, deep resources, technological expertise, and financial discipline that are critical to success.  Chrysalis takes a direct, straightforward approach in its work and relationships, challenging itself and its management teams to exceed expectations and deliver superior results. 

Contact
Regent Education
Diane Eves, Marketing Director
(301) 662-5592 or marketing@regenteducation.com

SOURCE Regent Education

 

Minneapolis based Cherry Tree & Associates served as the investment banking advisor to Regent Education on this transaction.

Cherry Tree & Associates provides investment banking services through our FINRA-licensed broker dealer.

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Cherry Tree Advises Aperture Education on its Sale to Riverside Insights, A Portfolio Company of Alpine Investors

Cherry Tree Advises Aperture Education on its Sale to Riverside Insights, A Portfolio Company of Alpine Investors

Aperture Education

Cherry Tree Advises Aperture Education on its Sale to Riverside Insights, A Portfolio Company of Alpine Investors

“After going through a careful selection process, we chose Cherry Tree based on their extensive experience working with edtech companies, their focus on our goals and objectives, and their appreciation for our values and commitment to all stakeholders. We were not disappointed! They provided the context and advice we needed to help us navigate many attractive options along the way, negotiated strongly and effectively on the issues that mattered most to us, and their team worked long hours to ensure our team was always prepared and that the necessary information was provided and correct.”

—Jessica Adamson, CEO, Aperture Education

INDUSTRY:
K-12 Education; Software-as-a-Service (SaaS)

DESCRIPTION:
SaaS provider of research-based social and emotional learning (SEL) assessments to K-12 schools

LOCATION:
Fort Mill, SC

TRANSACTION TYPE:
Sale to PE-Backed Strategic Buyer

Transaction Overview

In June 2022, Aperture Education, the leading provider of research-based social and emotional learning (SEL) assessments for K-12 schools, announced that it had been acquired by Riverside Insights, a leading developer of research-based assessments and analytics. With more than 65 years of combined research and SEL experience, Aperture sets the standard for research-based SEL assessment solutions as it’s DESSA assessment system (based on the CASELTM framework) provides an in-depth, comprehensive view of student social and emotional skills and is entirely strength-based. Terms of the deal were not disclosed.

The addition of Aperture’s SEL solutions to the Riverside portfolio of research-based ability and achievement assessments will help K-12 educators obtain the most valid, reliable and comprehensive view of each learner. The combined companies have a synergistic goal of enriching one billion lives globally by 2030.

“Riverside and Aperture have very similar company cultures. We share an entrepreneurial energy and have fixed our eyes on future growth,” said Jessica Adamson, CEO at Aperture Education. “With our research-roots, we believe the right insights empower educators to better serve students, and together, we believe we can more effectively reach educators to scale our impact.”

“With Riverside’s strong research tradition blended with Aperture’s SEL product expertise and vision, we are excited to continue our commitment to creating insights to understand the whole learner. Together, we believe that through our assessments, we can make a greater impact in the lives of students and educators” said Rajib Roy, CEO of Riverside Insights.

Cherry Tree’s Role:

Cherry Tree was engaged to advise Aperture Education, its board of directors and its shareholders in identifying the best partner to help the Company achieve its next phase of growth, while maximizing shareholder value. The Cherry Tree team advised Aperture in a process that included both strategic entities as well as growth-oriented investors, where its role included preparing evaluation materials, effectively communicating this compelling investment opportunity to potential investors and buyers, engaging with a wide range of qualified parties, soliciting proposals and negotiating attractive terms, and supporting the management team through the diligence process and finalizing the definitive agreements.

About Aperture Education:

Aperture Education has empowered over 6,500 schools and out-of-school time programs across North America to measure, strengthen, and support social and emotional competence in K-12 youth and educators. The Aperture System includes the DESSA suite of strength-based assessments, CASEL™-aligned intervention strategies, and robust reporting, all in one easy-to-use digital platform. This system enables education leaders to make strategic, data-based decisions about SEL within their organizations. Aperture has supported more than one million students in their social and emotional growth and continues to develop innovative solutions to bring the whole child into focus. To learn more, visit www.ApertureEd.com.

About Riverside Insights:

Riverside Insights, one of the nation’s leading and most long-standing developers of research-based assessments, is led by a powerful mission: to provide insights that help elevate potential and enrich the lives of students, clinical patients, employees, and organizations globally. For more information, visit http://www.RiversideInsights.com.

About Alpine Investors:

Alpine Investors is a people-driven private equity firm that is committed to building enduring companies by working with, learning from, and developing exceptional people. Alpine specializes in investments in companies in the software and services industries. Its PeopleFirst strategy includes a talent program that allows Alpine to bring leadership to situations where additional or new management is needed post-transaction. Alpine is currently investing out of its $2.25 billion eighth fund. For more information, please visit http://www.alpineinvestors.com.

About Cherry Tree & Associates

Cherry Tree & Associates is a private investment banking firm headquartered in Minneapolis, Minnesota.  Founded in 1980, it specializes in M&A transactions for both buyers and sellers of middle market companies.  Additionally, it conducts private placements for high quality, entrepreneurially managed growth companies, provides strategic advisory services for CEOs and boards of directors, and prepares fairness opinions and other valuation services.

Cherry Tree & Associates provides investment banking services through our FINRA-licensed broker dealer.

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Tierney_Trox

Tierney_Trox

Tierney

Cherry Tree Advises Tierney on its Merger with Trox

INDUSTRY:
Education/Technology
DESCRIPTION:
Distributor and Integrator of Audio/Visual (A/V) and Technology Solutions
LOCATION:
St. Paul, Minnesota
TRANSACTION TYPE:
Merger with PE-Backed Strategic Buyer

Transaction Overview

In April 2021, Tierney, a leading provider of A/V and other technology solutions and services to primarily education institutions, announced it had merged with Trox, a leading provider of technology solutions to North American education institutions. The merger positions the joint organization as one of the largest education technology solutions providers in North America. Trox is a portfolio company of H.I.G. Growth Partners.

Cherry Tree’s Role

Cherry Tree was engaged to advise Tierney’s ownership group as they considered several proposals they had received from parties seeking to acquire the business. Their objectives were to select the best partner for all stakeholders, and to achieve the personal goals of the shareholders, some of whom were seeking to fully retire while others desired to continue on in management and ideally maintain some ownership. The Cherry Tree team advised the shareholders in an accelerated process that included engaging with a targeted group of qualified parties in a short time period, facilitating meetings and strategy discussions, soliciting LOI bids and negotiating terms, supporting the Company in working through the confirmatory due diligence process, and assisting with the closing of a transaction.

About Tierney

Tierney has been a leading provider of technology solutions for K-12 schools, higher education institutions, government organizations, and corporate businesses for over 40 years. With a focus on the customer, helping teachers teach, students learn and workers work, Tierney provides a line of products and services to support projects of any size from start to finish. Learn more at www.tierney.com

About Trox

For nearly 40 years, Trox has championed the use of technology to broaden access and improve learning. As North America’s leading education technology provider, the company empowers educators to confidently purchase, implement, use, and manage technology resources by using technology to address their challenges and improve the learning landscape. Trox’s expansive product portfolio, combined with its deep understanding of how technology can be used to manage, teach, and learn, makes the company a beloved partner to tens of thousands of districts across the U.S. and Canada. Providing technology that is in use by over 20 million students daily, Trox is committed to driving transformative change in education by enabling learning without limits. Learn more at www.trox.com.

About Cherry Tree & Associates

Cherry Tree & Associates is a private investment banking firm headquartered in Minneapolis, Minnesota.  Founded in 1980, it specializes in M&A transactions for both buyers and sellers of middle market companies.  Additionally, it conducts private placements for high quality, entrepreneurially managed growth companies, provides strategic advisory services for CEOs and boards of directors, and prepares fairness opinions and other valuation services.

Cherry Tree & Associates provides investment banking services through our FINRA-licensed broker dealer.

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