Huron adds to education platform

A portfolio company controlled by the Michigan-based private equity firm has purchased The Institute of Medical and Dental Technology.

Huron Capital portfolio company Ross Education, a medical and dental vocational school, has purchased The Institute of Medical and Dental Technology, a similar post-secondary career school.

Transaction terms were not disclosed.

Ross operates campuses in Michigan, Georgia and Ohio, while The Institute of Medical and Dental Technology is based in Cincinnati, Ohio.

“The IMDT transaction is consistent with our goal of growing Ross through both organic expansion and acquisitions,” Huron partner John Higgins said in a statement.

Ross chief executive, Paul Mitchell, added: “We are excited about bringing IMDT into the Ross family. We look forward to building on the success of IMDT to expand our presence in Cincinnati and the broader Ohio market.”

Huron acquired Ross in 2005 as part of a recapitalisation in partnership with Mitchell.

The transaction marked its second vocational education platform deal, having previously purchased Miami-Jacobs Career College and The Creative Circus and exited them in May 2006.

The niche education sector is particularly popular with mid-market private equity firms including San Francisco-based Gryphon Investors and the UK’s Bridgepoint.

Last week, Southern California-based mid-market firm ClearLight Partners sold portfolio company US Education for $290 million (€189 million) to Devry, a large US vocational school chain.

Huron typically writes equity cheques of $10 million to $20 million to acquire companies with revenues of up to $200 million. The Michigan-headquartered firm closed its third fund on $350 million in January 2008 after 30 days in the market.