Private equity firm Thoma Bravo has initiated moves toward the potential sale of education software provider Instructure, valued at $3 billion.
The firm, which owns 83% of Instructure, has tapped JPMorgan Chase (NYSE:) to attract potential buyers, which could include other private equity firms, Reuters reports.
The announcement of the possible sale sent Instracture shares up 4.5% in after-hours trading on Friday.
Instructure is a renowned player in the edtech sector, offering software services to educational institutions at various levels. The company boasts a global customer base of over 8,000 clients in over 100 countries.
Thoma Bravo bought Instructure in a $2 billion deal in 2020 and relisted it in an initial public offering a year later.
However, the company’s shares have been trading close to its IPO price of $20 for the past three years. T
The initial surge in demand for distance learning tools during the pandemic has waned as competition in the sector has increased.
Earlier this year, Instructure expanded its offerings by acquiring Parchment, an academic credentials management company, for $835 million.