REGULATORY · COMPETITIVE · INDIA
Competition Commission clears Udemy–Coursera merger
Change
The Competition Commission of India approved the proposed amalgamation of Coursera's Chess Merger Sub with Udemy Inc.
Why it matters
The Competition Commission of India approved the amalgamation of Udemy Inc with Chess Merger Sub, a newly incorporated wholly owned subsidiary of Coursera Inc. Upon closing, Udemy will survive as a wholly owned subsidiary of Coursera. Existing Coursera shareholders are expected to own approximately 59% and Udemy stockholders about 41% of the combined company on a fully diluted basis. Chess Merger Sub was formed solely to effectuate the proposed combination; Udemy operates a globally delivered online learning marketplace through cross-border digital delivery.
Implications
- · Control and corporate governance of Udemy consolidate under Coursera as a wholly owned subsidiary.
- · Combined-company ownership will be split roughly 59% to Coursera shareholders and 41% to Udemy stockholders, changing shareholder composition and voting control.
- · Coursera will use its newly formed Chess Merger Sub vehicle to effect the transfer of Udemy into Coursera's corporate structure.
Who is affected
- · Shareholders
- · Corporate boards
- · M&A advisers
Source
Topics
Law & Public Safety Regulatory Actions Business & Markets Mergers & Acquisitions