Global Knowledge (GK), the world's leader in IT Training, has ousted their chief executive. Training Industry, Inc. works with a number of private equity firms and has heard speculation that the owners have been frustrated with the CEO, Joe Cece, due to his inability to consummate the sale of the company. GK is owned by New York based investment firm Welsh, Carson, Anderson, and Stowe (WCAS).
For the past couple of years, WCAS has been aggressively seeking a buyer but has been unable to come to terms with the many companies who have shown interest. There have been a number of companies expressing interest, but none have been able to find a common ground with the leadership team or to agree on the valuation of the company.
Some believe the biggest obstacle has come from Cece, and this is what led to his termination. Chief Financial Officer, Brian Branson has been named interim CEO. Plans for how the company will move forward have not been released at this time.
Global Knowledge does not release revenue numbers, but we believe they have experienced annual revenues in excess of $300m. This of course was prior to the recent downturn in the economy. All indications are that revenues and volumes are down as much as 25% this year. Good news is they are weathering the storm much better than most in the IT training market. You should also expect more changes to be announced in the very near future about other leadership changes and the strategic direction of the company.
