Regis To Sell Its About 55% Ownership Interest In Empire Education - Quick Facts

(RTTNews) - Regis Corp. (RGS) announced Monday a transaction with Empire Education Group, an operator of accredited cosmetology schools. Regis currently has an approximate 55% ownership interest in EEG.

Regis and Empire Education entered into an agreement pursuant to which Regis will sell its interest in Empire Education in exchange for de minimis cash compensation, an exclusive private label supply agreement, and an employer of choice arrangement.

Regis is a leader in the haircare industry, whose primary business is franchising, owning, and operating technology enabled hair salons.

The transaction is subject to customary closing conditions, including regulatory approval, and is expected to be completed in Regis' fourth quarter of fiscal 2020.

Coincident with this transaction, Regis and Empire Education are announcing a strategic "Employer of Choice" agreement. This agreement designates Regis franchised and company-owned salons as the favored employers for students graduating from Empire cosmetology schools.