Dear Commons Community,
Blackboard, the giant provider of learning-management software, is up for sale. According to the Reuters, the privately held software company is seeking a buyer unfazed by an estimated $3-billion price tag. The company has hired two banks to conduct an auction to find such a buyer.
Blackboard was taken private in a buyout four years ago. Since then, it has faced increased competition from educational-technology start-ups. A pioneer in education management software founded in 1998, Blackboard has seen its growth slow in recent years as cheaper and faster software upstarts such as Instructure Inc have tried to encroach on its turf. Since its launch in 2011, Instructure has signed up 1,200 colleges and school districts, according to its website.
Blackboard’s majority owner, private equity firm Providence Equity Partners LLC, has hired Deutsche Bank AG (DBKGn.DE) and Bank of America Corp (BAC.N) to conduct the auction.