The board of Directors of SkillSoft Plc., a Web based business training company, has approved the acquisition of the company by SSI Investments III in an all cash deal valued at $1.1 billion.

SSI Investments III is a new company formed by the consortium of private equity firms. Those firms are Berkshire Partners LLC, Advent International Corp. and Bain Capital Partners, LLC. SkillSoft, headquarters in Ireland, is basically an e-learning and performance support solutions provider.

SkillSoft agreed to be bought for $10.80 a share in cash, or around $1.1 billion in total. This price is a 26% premium to the average closing price over the year to February 11.

Under the terms of the deal, SkillSoft will continue to be headquartered in Dublin, Ireland. The company will still to be led by the current management team, including Chuck Moran as CEO.  

The acquisition is reportedly to be financed from debt financing provided by Morgan Stanley and Barclays Bank, along with equity commitments from each member of the Investor Group.  The financing will consist of a senior secured revolving credit facility of US$40 million, a senior secured term loan facility of US$325 million, and a senior unsecured interim loan of US$240 million.