Accreditor Defers Action on U of Phoenix Parent Company Merger

The Higher Learning Commission announced Thursday it would defer action on a proposed merger agreement from Apollo Education Group -- the parent company of the University of Phoenix.

HLC notified Apollo that it would defer action until the U.S. Department of Education provides a written response regarding the agreement, according to a corporate filing. The regional accreditor will reconsider the merger within 30 days. If the department hasn't responded, HLC can also take up the matter in November.

Apollo is in the process of going private. In May, shareholders agreed to sell the company for $1.14 billion. That sale is subject to review by HLC and the department.