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Capstone Advises Ross Learning in a Transaction With Huron

March 2005

Detroit, MI - Ross Learning LLC, a leading provider of postsecondary education and training services has successfully completed a management-sponsored equity recapitalization lead by Huron Capital Partners LLC in partnership with Paul Mitchell, the Company’s CEO. Capstone Partners LLC, a leading national investment banking advisory firm, served as financial advisor to the shareholders of Ross Learning LLC. Financial terms of the transaction were not disclosed.
 
John Higgins, a Partner at Huron, stated, "We are thrilled with the opportunity to partner with Ross' CEO, Paul Mitchell, and complete another platform investment in the post-secondary education sector. The Ross investment really enables us to leverage our successful experience and executive relationships in the education industry."
 
Paul Mitchell commented, "The opportunity to grow Ross Learning by building on its strong foundation of quality educational and training programs represents a very exciting opportunity for our management team and employees. We are also excited about our relationship with Huron Capital as they represent an ideal partner for us. Huron has an exceptional track record in the education industry and brings industry relationships that will be valuable to us."
 
“This is yet another marquee transaction for Huron in the postsecondary market. With the combination of Ross’ management and Huron Capital’s extensive resources, we fully expect to see Ross continue to grow its leadership position in the workforce development and allied health sectors,” said Capstone Partners’ President and Managing Partner, John Ferrara.
 
The transaction marks Huron's sixth new platform investment within the last eight months and second significant platform investment in the post-secondary education industry. Since launching its second investment fund, The Huron Fund II L.P., less than five months ago in October 2004, Huron has committed over $50 million from its new fund. LaSalle Bank provided senior debt financing and Midwest Mezzanine Funds provided subordinated debt financing for the transaction.
 
Huron Capital Partners LLC is one of the nations leading private equity firms investing in lower middle-market companies. The firm typically invests between $5 million and $20 million in equity to sponsor management buyouts, recapitalizations, and corporate spin-offs of well-positioned companies having revenues up to $200 million.
 
Ross Learning LLC has been providing postsecondary educational services through its two divisions for over 25 years. Through Ross Medical Education Centers, the Company offers allied health programs that target the large student population seeking career-oriented education. Ross' Innovative Employment Solutions division operates workforce development programs under contract with governmental agencies. Ross operates 14 schools located in Michigan (10), Georgia (2) and Florida (2).
 

Lead Professional

John Ferrara

Founder & CEO
 “I was very impressed with Capstone’s rapid turnaround time.  They always seemed to be first out of the gate in identifying the most prominent transaction issues and recommending resolutions.  Their approach was unassuming and intelligently focused.  The quality of the advice Capstone provided us was outstanding.” 
Richard Lockman
Principal Shareholder
Ross Learning LLC