Phoenix Education Partners, Inc., the parent company of the University of Phoenix, is preparing to return to the public markets with an offering that could value the company at more than $1 billion. The Delaware-based company will list on the New York Stock Exchange under the ticker PXED, with 4.25 million shares offered by selling stockholders at an expected range of $31 to $33 per share. At the midpoint, the deal would raise approximately $136 million, though all proceeds will go to existing shareholders—primarily affiliates of Apollo Global Management, which will continue to control around 71% of the voting power after the IPO. The offering is being led by Morgan Stanley, Goldman Sachs, BMO Capital Markets, and Jefferies, alongside a deep bench of co-managers including Apollo Global Securities and Truist Securities.
Phoenix Education positions itself as a mission-driven provider of online higher education, designed specifically for working adults. The University of Phoenix, its primary subsidiary, has long been one of the largest online universities in the United States, with an average degreed enrollment of 78,900 in FY2024 and more than 1.1 million alumni since inception. The average student is 37 years old, most are first-generation college students, and nearly two-thirds are balancing studies with dependent care. To serve this unique population, Phoenix emphasizes flexible online programs, career-relevant curricula, and affordable tuition. The University currently offers 72 degree programs and 33 certificate programs, with business, IT, and healthcare representing the majority of degree completions
The company’s turnaround story traces back to 2017, when Apollo Global and The Vistria Group acquired the University following years of enrollment decline and regulatory pressure. Since then, Phoenix has shed non-core operations, exited physical campuses outside Arizona, and invested heavily in technology. Over the past five years, the University has deployed more than $500 million into AI and automation tools designed to improve student retention, personalize learning pathways, and reduce administrative costs. These efforts have paid off: graduation rates have risen from 25% in the 2015 cohort to 37% in the 2019 cohort, while student loan default rates have fallen from 13.3% to 8.7%
Financial performance has strengthened alongside these operational changes. Revenue grew from $835 million in FY2023 to $950 million in FY2024, while net income rose from $65.9 million to $115.1 million over the same period, expanding margins from 7.9% to 12.1%. Preliminary FY2025 results suggest Phoenix is on track to surpass $1 billion in annual revenue and generate net income of $134–$136 million, reflecting continued efficiency gains and strong enrollment trends.
Looking ahead, Phoenix Education sees significant opportunity in its business-to-business enrollment channel, which has grown from 20% of student enrollment in 2022 to 30% in 2024, fueled by relationships with more than 2,500 employers. The University is also developing talent-focused platforms like Skillmore, an AI-driven skill-matching tool, and Talent Source, which connects students with employers seeking specific competencies. Combined with the University’s “Career Services for Life” pledge—offering lifetime career support to alumni—these initiatives aim to deepen corporate partnerships while improving student outcomes.
Still, risks remain. Phoenix derives about 88% of revenue from federal Title IV student aid, leaving it heavily exposed to regulatory changes, particularly around the 90/10 rule. The controlled company structure also limits governance rights for minority investors, with Apollo retaining substantial influence. Competition from both traditional universities and fast-growing online platforms like Coursera and 2U adds further pressure.
Even so, the University’s scale, brand recognition, and improving outcomes give it a differentiated position in the higher-education sector. With no tuition increases since 2018 and affordability levels below many private competitors, Phoenix Education has built a defensible model serving the adult learner market. As it re-enters the public spotlight, investors will weigh its renewed profitability and technological edge against the realities of governance and regulatory oversight. If successful, the IPO will mark a notable comeback for one of the most recognized names in online higher education.
Phoenix Education Partners is expected to debut on October 9th, 2025.