Princeton Review Buys Distance-Education Provider for $170-Million

The Princeton Review, the test-preparatory company, announced today that it would pay $170-million in cash to purchase the Penn Foster Education Group, a 118-year-old company that operates three accredited distance-education institutions serving 223,000 secondary and postsecondary students in more than 150 countries. In a news release, the Princeton Review, which is not connected with Princeton University, said the deal would increase the company’s “cash flow generating capabilities.” The seller was the Wicks Group of Companies, a private-equity firm.