Here are five things to know about Advisory Board:
1. Advisory Board disclosed plans to cut 220 jobs, which is 5.7 percent of its workforce, due to lower revenue growth than expected last year. The company blamed low growth on reduced IT spending after the presidential election.
2. The company is exploring a partial or complete sale as one strategic alternative, according to the report.
3. Elliott Associates owns an 8.3 percent stake in Advisory Board and plans to “engage” the company’s board about maximizing shareholder value, according to a regulatory filing.
4. Goldman, Sachs & Co. and Allen & Company are financial advisors; the acting legal advisors are Skadden, Arps, Slate, Meagher & Floam.
5. Advisory Board shares rose 44 percent after the company announced the job cuts and reported a $1.89 billion market value yesterday.
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