Corinthian to Buy Assets of Computer Training Academy

Corinthian Colleges Inc., continuing an ambitious expansion program, said it will buy the assets of Computer Training Academy Inc., including two campuses in the San Jose area, for an undisclosed price.

Santa Ana-based Corinthian, one of the nation’s largest operators of private vocational schools and colleges, said it plans to complete the purchase in the second quarter of fiscal year 2001, pending approval by California state regulators.

Closely held Computer Training Academy, which had about 500 students on Aug. 31, awards certificates and diplomas in information technology programs, telecommunications technician training and computerized business administration, Corinthian said.

The acquisition agreement is the second that Corinthian has announced in the last week.

Last Wednesday, Corinthian said it would buy four Los Angeles-area campuses from closely held Educorp Inc. The price was not disclosed at the time, but Corinthian put the price at about $12 million in a regulatory document filed Monday.

After purchasing Computer Training and Educorp, Corinthian will operate 51 colleges in 18 states, including nine in Florida, 16 in California and four in Georgia.

Corinthian’s stock moved up 10%, or $4.38 a share, to $47.25 in Nasdaq trading. The shares had slumped nearly 20% on Monday, after the company announced a secondary stock offering of 3 million shares.

The stock has gained nearly 98% so far this year.