Private investment major KKR is set to acquire XCL Education in a deal valued at approximately $1.3bn, marking a significant move in the private equity-backed education sector, according to a report by Bloomberg.
The New York-headquartered firm is targeting XCL’s network of UK schools and ancillary education services as part of its strategy to expand in the growing private education market.
The transaction comes amid a broader slowdown in private equity dealmaking. Despite deal value in 2025 rising 44% year-on-year to $904 billion, industry-wide distributions to investors remained low, at just 14% of net asset value — the second-lowest level since the 2008 financial crisis, according to a recent Bain & Co report. Firms are continuing to sit on substantial “dry powder”, with $3.8tn in unallocated capital globally, limiting new fund deployments.
KKR’s acquisition of XCL reflects a continued focus on quality assets with defensible growth prospects, as private equity investors are increasingly scrutinising opportunities for strong value creation and sustainable returns. The firm is expected to leverage its operational expertise and capital resources to enhance XCL’s offering and expand its footprint.
Financial terms and closing details for the transaction have not been fully disclosed.
