CBT Group, a provider of interactive education software for information technology training, has announced the completion of the acquisition of Knowledge Well, a provider of business, management and professional education using online learning technologies.
The acquisition was approved by CBT's shareholders earlier this month, with approximately 99 per cent of the shareholders that voted ratifying the acquisition.
This is a major development for CBT Group, commented Mr Bill McCabe, CBT Group chairman. "This acquisition brings together an established industry powerhouse and an innovative pioneer. We expect the combination to be a powerful one."
Under the terms of the acquisition agreement signed late last year, CBT Group issued approximately four million shares in exchange for all of the outstanding capital stock of Knowledge Well. In addition, CBT Group assumed outstanding Knowledge Well options.
The company expects to account for the transaction as a purchase. Accordingly, the company expects to record a one-time charge of approximately $8 million during the second quarter in connection with the write-off of acquired in-process research and development, as well as professional fees and other costs associated with the acquisition.
