Quais serão os impactos nos resultados dessa transação separando a Grand Canyon University (GCU) da Grand Canyon Education (GCE)?
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On July 1, 2018, the Company consummated an Asset Purchase Agreement (the "Asset Purchase Agreement") with Gazelle University, an Arizona
nonprofit corporation. Prior to the consummation of the transactions contemplated by the Asset Purchase Agreement, the Company owned and
operated Grand Canyon University ("GCU") a comprehensive university, regionally accredited by The Higher Learning Commission (the "HLC"), that
offers over 230 graduate and undergraduate degree programs, emphases and certificates across nine colleges both online and on ground at its over
275 acre campus in Phoenix, Arizona. Upon the closing of the transaction, Gazelle University changed its name to Grand Canyon University ("New
GCU").
Pursuant to the Asset Purchase Agreement, among other things:
The Company transferred to New GCU the real property and improvements comprising the GCU campus as well as
tangible and intangible academic and related operations and assets related to GCU (the "Transferred Assets"), and New
GCU assumed liabilities related to the Transferred Assets. Accordingly, GCU is now owned and operated by New GCU;
and
In connection with the closing of the Asset Purchase Agreement, the Company and New GCU entered into a long-term
master services agreement (the "Master Services Agreement") pursuant to which the Company will provide identified
technological, counseling, marketing, financial aid processing and other support services to New GCU in return for 60% of
New GCUs tuition and fee revenue.
