Another for-profit bought out by a traditional university
- Lynn University has announced that it will acquire assets of Digital Media Arts College (DMAC), transitioning its College of International Communication into a College of Communication and Design with courses in design, web and game art, among other things, according to a press release.
- In the acquisition agreement, Lynn will gain 33,600 square feet of additional instructional space only about a mile away from the main campus, and it is structured so that all of DMAC's existing and incoming students will be able to continue their courses at no additional cost, with the ability to transfer with "the same semester schedule, faculty, tuition rates, and financial aid eligibility."
- Lynn's acquisition of DMAC is yet another sign throughout the sector of for-profit difficulties, particularly with the U.S. Department of Education's decision last year to strip the authority of the Accrediting Council for Independent Colleges and Schools, the largest accrediting agency for for-profit institutions. Some project, however, that there will be a resurgence under the current administration.
The deal is part of an emerging trend in the industry of for-profits being acquired by traditional institutions, with the Education Department's recent approval of Kaplan's sale to Purdue, and other institutions like the University of Georgia partnering with bootcamps. With the stripping of ACICS' authority last year, transitions of for-profits to non-profit institutions may be the move that helps them survive, especially as the Education Department appears to be giving such deals its blessing.
At the same time, acquiring a for-profit could serve external benefits beyond added space and curriculum options for non-profit institutions, as for-profits are traditionally very good at marketing their programs to non-traditional students, a growing majority on campuses. The combination also helps for-profits erase a reputation of enrolling as many students as possible without considering graduation rates, as traditional institutions are obligated to provide students with significant ROI.
- Lynn University Lynn University launches new College of Communication and Design
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