Northcentral University Has Been Sold!

Hello, all.

Well, I guess all the speculation a few months back has proven to come true. This is a message that went to all NCU learners today...

Northcentral University Signs a Definitive Agreement to Be Acquired by Rockbridge Growth Equity, LLC

Prescott Valley, AZ - October 06, 2008 – Northcentral University (NCU) an accredited online university and innovator in 100 percent online higher education, announced today that it has signed a definitive agreement to be acquired by Rockbridge Growth Equity, LLC (www.rbequity.com).

Rockbridge will partner with Primus Capital (www.primuscapital.com), a Cleveland-based Private Equity Fund with substantial education industry experience, to finance this acquisition. Financial details were not disclosed. "We are excited about our partnership with Rockbridge Growth Equity and the impact this association will have on the growth of NCU," said NCU Founder Dr. Donald Hecht.

Founded in 1996, Northcentral University (www.ncu.edu) is a regionally accredited online university currently educating more than 7,500 students in a variety of bachelor’s, master’s and doctoral programs. Combining rigorous academics with the convenience of 100 percent online degree programs, NCU is focused primarily on graduate-level degrees, with 95 percent of its students enrolled in doctoral and master’s online degree programs.

NCU has grown substantially at an average annual growth rate of 47 percent since 2005. This growth is attributed to the high quality of its education and the flexibility afforded by NCU’s unique 100 percent online, one-on-one learning model.

Northcentral University will maintain its world headquarters in Prescott Valley, Arizona and no changes are planned in management or leadership. “Board Chairman Martin Gottlieb and all current board members are to be thanked for their valuable contributions during these negotiations, and will continue in their role as NCU board members,” stated Dr. Hecht.

As a 100-percent online university, NCU employs a variety of marketing strategies to acquire students and grow enrollment, with NCU students coming from all 50 states and 84 different countries. Privately held Rockbridge Growth Equity has a strategic relationship with Quicken Loans, the nation's largest online, direct-to-consumer mortgage lender, which has significant online marketing capability.

“We believe that with NCU's talented management team and exceptional learning model, and our online marketing capabilities, we can build one of the industry-leaders in for-profit education,” Rockbridge Growth Equity Partner Kevin Prokop commented.

“Rockbridge Growth Equity brings a substantial amount of value to the table above and beyond providing capital. We are thrilled to work with them to help grow NCU into a leader in the for-profit, online education industry,” commented Dr. Clinton Gardner, NCU president.

About Northcentral University: Founded in 1996, Northcentral University is a for-profit, 100 percent online higher education institution currently serving over 7,500 students worldwide. NCU (www.ncu.edu) offers bachelor’s, master’s and doctoral degrees in the schools of Business and Technology Management, Education and Psychology. More than 94 percent of NCU faculty mentors have a terminal or doctoral degree and the all have significant practical experience in their field.

NCU focuses on customizing academic programs to each student’s professional interests while providing the convenience of accredited online degree programs. NCU is regionally accredited by the Higher Learning Commission of the North Central Association of Colleges and Schools. [NCU’s School of Business and Technology Management was the first and only 100 percent online university to be accredited by the Association of Collegiate Business Schools and Programs (ACBSP).]

About Rockbridge Growth Equity: Rockbridge Growth Equity (www.rbequity.com) is a middle market private equity firm based in the Detroit Metropolitan Area. Rockbridge has $150 million of dedicated capital and is focused on middle-market transactions in the financial services, consumer-direct marketing, business services and sports, media & entertainment industries.

Collectively, the partners in Rockbridge have completed transactions with an aggregate value of more than $2 billion. Dan Gilbert, a founding partner of Rockbridge, is the majority owner of Quicken Loans, the nation’s largest direct-to-consumer internet-based mortgage lender. Rockbridge is affiliated with other leading businesses in its target sectors including Quicken Loans, One Reverse Mortgage, Title Source, ePrize, Veritix and the Cleveland Cavaliers.

basrsu

 

Do you think they change stuffs around? Such as tuition, staffs, and etc.....

 

Good question, TEKMAN...guess time will tell.

basrsu

 

Change is good and this may resolve the issues such as the governance that the HLC pointed out in the accreditation visit. I only hope they don't change the name, but if they do, I hope they change it with something reasonable.

 

Thanks, Basrsu. I think they should change the name, 'cause Northcentral University is confusing with North Central University. They should change into University of Southern Arizona, or University of Central Arizona.

 

You are already getting confused, is vinipink not basrsu.

 

How about NCU University? Just as dumb as TUI University

 

At least TUI has a meaning in Latin(your) but NCU has no other meaning than short for Northcentral University. How about Arizona Central University or Arizona North Central University or even Northcentral Arizona University. Personally, I hope they don't change, because I would have to buy the university stuff again.

 

Now that they are a part of the prestigious Fathead family (www.fathead.com, you could look it up), how about Fathead University?

 

Well, I think I'll probably get their PhD in Business Administration/Electronic Commerce someday, even if it is from NCU University.

 

Wow!

• My first gut reaction was that a change in ownership might be good for NCU.
• My second thought was to wonder if NCU will become like UoP where it's abundantly clear that it's all about the dollar.

Time will reveal all!

 

If that is the case, then NCU is not my backup institution for Ph.D. It is possible that they change the name into Rockbridge University or RGE University.

 

John,

Thanks for the laugh!


Tom

 

Well is about the money(what ever we have in the future) not the dollars( is may heading to a collapse).

I see this change as a good thing.

 

If the current name is finally established and has a marketable draw, then it would not be financially prudent to change it.

 

The name change will not occur according to an insider of the university.
I can see some policies changing, that way more students can join the university. The main problem that the University is having, is able to grow(despite is affordable as it is) is no availability for financial aid(reason why UOP is so large). Columbia Southern University, resolved this issue by having two enrollment plans, those with financial aid and those with no financial aid(which prefer a more flexible schedule ). The one with financial aid needs to follow a more structure schedule than the one that are not taking financial aid. NCU may take a look at this platform and that may help them growth even more. This is a tip of the ice thought.

 

I hope the new owners have enough sense to bring back federal financial aid.

 

I agree that new Ownership should bring Federal Financial Assitance back to NCU.

 

That is also true for many not-for-profit schools and public schools.
California community colleges, Cal State Universities, and the University of California are all implementing cost cutting measures such as program cutback or deletion, freezing salaries, hiring adjunct faculty, and raising tuition and other fees. My local CC is using a several hundred million dollar bond issue to renovate the campus (I am paying back $43/year as part of my real estate tax bill).

 

As someone who pays for their own education I hope the tuition rates are reduced. If my experience with NCU during the SKS courses is any indication of the lack of active mentor involvement, I cannot see how NCU justifies the current tuition fees. Now that said, NCU does offer interesting specializations within their doctorate degrees and that is the reason I chose them in the first place. Pray the new owners do not engage in a UoP-style marketing campaign.