It's over for Heald. No one will buy it. Prospective buyers turned it down.
26 replies (most recent on top)
818 only if a for profit company will want to buy CCI, but if a non profit will buy then the title IV funds won't be necessary.
Also, if CCI Claims bankruptcy, they can no longer be eligible for Title IV funding which makes it that much harder to sell.
756 I do hope I'm wrong.
746 - don't be sorry, just be wrong. No one here has any more information than the next person regarding the sale of any of the brands.
I'm sorry but you don't need a mole in CCI to know this.
No way you could know this, but nice try!
Ok, so which of your super secret sources told you this? What, do you have a mole inside the executive leadership team at CCI?
Also CCI just can't claim Bankruptcy on their own. They have to be approved to do so. So they have to be evaluated and show that they did everything in their power to stay open. And that's where the sales pitch from management is coming from. They're trying to hold us as employees down so they don't have an exodus of people leaving that they cannot replenish due to the federal constraints imposed from the monitors. There is no way for a company to stay afloat with such a drastic decrease in revenue and shutting down the title IV Funding. No more flood gates and we can barely get a trickle of revenue from the new students coming in. Unsustainable. CCI has always kept us employees in the dark, this is no different.
This wouldn't be a regular company going BK, because federal monies are involved and the magnitude of ramifications that are involved. We're talking about student lives and the loans that are going to haunt them. So federal government will want to forgive the loans but they will have to have a scapegoat. So if CCI dwindles down those number of outstanding loans that didn't finish their terms. The lesser they have to answer to the feds. And of course the lesser degree in restitution.17
Hijacker, very true that CCI can go BK. But with the BK so does going to court to show good faith that you did everything in your power to avoid it. Problem is heads of CCI will have to this in court in front of elected officials grilling them. They're trying to show just cause at the moment before we start closing doors. They want to show that they tried to sell but couldn't due to compromising factors (Lack of a better word). My opinion is were closing doors. If you look at your enrollment hasn't it dwindled down? What company will buy an institution with lowering student population and a tainted reputation.
Anonymous43655: I get that but what would have happened if CCI didn't teach out? My understanding, and I could be wrong, is that we have to sell. No wiggle room around that part. I thought the reason for the teach out was to make sure the students finished AND to keep the Title IV funds flowing. I could be wrong like I said. Is there anything legally binding, besides the agreement, that mandates CCI teach out? If CCI didn't have the agreement in place and declared BK wouldn't that effectively stop the teach outs? My point I was trying to make is that CCI could have just quit and left everyone, from students to staff and vendors to suppliers out in the wind. They didn't go that course and that is why I argued against CCI pulling out of the Heald sale. I can't believe a post on here has lasted so long without any name calling :)
Hijacker, because the federal government mandated CCI to either sell or teach out.
Antonym: I don't think so. If they wanted to they could have declared BK, terminated all the employees, closed everything down and said "fk it". If it was just for the money why is CCI still here? I am pretty sure CCI isn't ranking in the money and who would put up with all the stress and crap from the DoE?
B Jacker....looks like they want to.
Market Cap: 5.73M
Anonymous4360: Because the agreement states that the sale has to be beneficial to the seller. It wasn't the DoE or monitor who stopped the sale, it was the original owners that tried to get more concessions after the deal was approved. Why should CCI have to settle for anything? CCI could just say screw it and let Heald die on the vine if they wanted to.
And how can you get lowballed on a penny stock where leadership faces false claims and criminal charges?
608...if you are not board hijacker, I wasn't asking you
What backstory? All the bidders were vetted by the DOE beforehand; they got lowballed on the initial offer, and so have reopened bids. There's been more offers made contingent on the information found during the due diligent period, with likely closing date for the sale on December 1st.
B Hijacker, there must be another (potentially ridiculous) backstory. How can CCi have DoE and the Monitor aligned on a sale which is long overdue....and the Board blocks it? wtf?
and that's how rumors start!
I already posted this last week and CCI turned the buyer down not the buyers turning it down. It was all approved by DoE and monitor but the buyer wanted more concessions and the board told them to pound sand. The buyer was the original owners of heals.
3 potential buyers turned it down. ALL wanted to be PAID to take Heald off CCI's hands.
Let's see the proof!
Inflamatory non-factual post.
Where did you get this news? Please provide link. Thanks in advance.