Adtalem Agrees to Buy Walden University for $1.48 Billion (1)

Adtalem Global Education Inc. agreed to acquire Walden University from Laureate Education Inc. for $1.48 billion in cash, as the company seeks to expand its health-care offerings.

The deal will generate annual cost savings for Adtalem of about $60 million, according to a statement Friday that confirmed an earlier Bloomberg News report. The acquisition should contribute to cash flow in the first year and boost earnings per share in year two, it said.

Shares of Laureate, based in Baltimore, surged as much as 26% in New York trading, giving the company a market value of $3.2 billion. Chicago-based Adtalem was ...