Pearson PLC

 

>From Wikipedia <https://en.wikipedia.org/wiki/Pearson_PLC> , the free
encyclopedia

 

 

Pearson PLC is a British multinational
<https://en.wikipedia.org/wiki/Multinational_corporation>  publishing
<https://en.wikipedia.org/wiki/Publishing>  and education
<https://en.wikipedia.org/wiki/Education>  company headquartered in London
<https://en.wikipedia.org/wiki/London> . 

 

It is the largest education company and the largest book publisher in the
world. 

 

Pearson holds 47% in Penguin Random House
<https://en.wikipedia.org/wiki/Penguin_Random_House> , the world's largest
consumer book publisher, and 50% stake in the Economist Group
<https://en.wikipedia.org/wiki/Economist_Group> , the publishing group which
specialises in international business.

 

Pearson has a primary listing on the London Stock Exchange
<https://en.wikipedia.org/wiki/London_Stock_Exchange>  and is a constituent
of the FTSE 100 Index <https://en.wikipedia.org/wiki/FTSE_100_Index> . It
has a secondary listing on the New York Stock Exchange
<https://en.wikipedia.org/wiki/New_York_Stock_Exchange>  in the form of
American Depository Receipts
<https://en.wikipedia.org/wiki/American_Depository_Receipts> .

 

History

 

1844 to 1915

 

The company was founded by Samuel Pearson in 1844 as a building and
engineering concern operating in Yorkshire under the name of S. Pearson &
Son. In 1880, control passed to his grandson Weetman Dickinson Pearson
<https://en.wikipedia.org/wiki/Weetman_Pearson,_1st_Viscount_Cowdray> , an
engineer, who in 1890 moved the business to London and turned it into one of
the world's largest construction companies. The company built the Blackwall
Tunnel <https://en.wikipedia.org/wiki/Blackwall_Tunnel>  between 1892 and
1897. In November 1915, the firm began construction of HM Factory, Gretna
<https://en.wikipedia.org/wiki/HM_Factory,_Gretna> , the largest cordite
<https://en.wikipedia.org/wiki/Cordite>  factory in the UK during World War
I <https://en.wikipedia.org/wiki/World_War_I> . 

 

1915 to 1990

 

In 1919, the firm acquired a 45% stake in the London branch of merchant
bankers Lazard Brothers <https://en.wikipedia.org/wiki/Lazard> , an interest
which was increased to 80% in 1932 during the depression years. Pearson
continued to hold a 50% stake until 1999. In 1921, Pearson purchased a
number of local daily and weekly newspapers in the United Kingdom, which it
combined to form the Westminster Press group. The original construction
business was shut down in the 1920s. 

 

In 1957, it bought the Financial Times
<https://en.wikipedia.org/wiki/Financial_Times>  and acquired a 50% stake in
The Economist <https://en.wikipedia.org/wiki/The_Economist> . It purchased
the publisher Longman <https://en.wikipedia.org/wiki/Longman>  in 1968. 

 

The company was first listed on the London Stock Exchange
<https://en.wikipedia.org/wiki/London_Stock_Exchange>  in 1969. It went on
to buy paperback publisher Penguin
<https://en.wikipedia.org/wiki/Penguin_Books>  in 1970, and in 1972,
children's imprint Ladybird Books
<https://en.wikipedia.org/wiki/Ladybird_Books> . In 1986, Pearson invested
in the British Satellite Broadcasting
<https://en.wikipedia.org/wiki/British_Satellite_Broadcasting>  consortium,
which, a few years later merged with Sky TV
<https://en.wikipedia.org/wiki/Sky_Television_plc>  to form a new company,
British Sky Broadcasting <https://en.wikipedia.org/wiki/BSkyB>  (BSkyB). 

 

1990 to 2000

 

During the 1990s, Pearson acquired a number of TV production and
broadcasting assets (including former ITV
<https://en.wikipedia.org/wiki/ITV_(TV_network)>  franchisee Thames
Television <https://en.wikipedia.org/wiki/Thames_Television> ) and sold most
of its non-media assets, under the leadership of future U.S. Congressman Bob
Turner <https://en.wikipedia.org/wiki/Bob_Turner_(American_politician)> .
Westminster Press was sold to Newsquest
<https://en.wikipedia.org/wiki/Newsquest>  in 1996. Pearson acquired the
education division of HarperCollins
<https://en.wikipedia.org/wiki/HarperCollins>  in 1996 from News Corporation
<https://en.wikipedia.org/wiki/News_Corporation> ,  and Simon
<https://en.wikipedia.org/wiki/Simon_%26_Schuster> & Schuster in 1998 from
Viacom and merged it with its own education unit, Addison-Wesley
<https://en.wikipedia.org/wiki/Addison-Wesley>  Longman to form Pearson
Education. 

 

2000 to 2005

 

In 2000, Pearson acquired Dorling Kindersley
<https://en.wikipedia.org/wiki/Dorling_Kindersley> , the illustrated
reference publisher and integrated it within Penguin. In 2002, Pearson
purchased Rough Guides <https://en.wikipedia.org/wiki/Rough_Guides> , the
travel publisher, and brought it under Penguin.

 

In September 2000, Pearson acquired National Computer Systems (NCS) and
entered the educational assessment and school management systems market in
the United States. 

 

In 2002, Pearson sold its 22% stake in RTL Group
<https://en.wikipedia.org/wiki/RTL_Group>  for 1.5 billion Euros.

 

In 2003 it acquired Edexcel <https://en.wikipedia.org/wiki/Edexcel> , a
provider of qualifications in the UK.

 

In 2004, Pearson acquired about 80% stake in Meximerica Media Inc for $16.5
million for the swelling U.S. Hispanic market. 

 

Pearson subsequently purchased a series of other testing and assessment
businesses, including Knowledge Technologies in 2004, AGS in 2005, and
National Evaluation Systems and Promissor in 2006. 

 

2005 to 2012

 

In April 2006, Pearson acquired National Evaluation Systems, a provider of
customised state assessments for teacher certification in the US. 

 

In May 2007, Pearson announced that it had agreed to acquire Harcourt
Assessment <https://en.wikipedia.org/wiki/Harcourt_Assessment>  and Harcourt
Education International <https://en.wikipedia.org/wiki/Harcourt_(publisher)>
from Reed Elsevier <https://en.wikipedia.org/wiki/Reed_Elsevier>  for $950m
in cash. Pearson completed the acquisition of Harcourt Assessment on 30
January 2008, merging the acquired businesses into Pearson Assessment &
Information. 

 

In 2007, Pearson acquired eCollege, a digital learning technology group for
$477m. 

 

In February 2008, Pearson announced the sale of its Pearson Data Management
Division (formerly the scanner manufacturing and servicing division of NCS
Inc.) to Scantron <https://en.wikipedia.org/wiki/Optical_answer_sheet>
Corporation (part of M <https://en.wikipedia.org/wiki/M%26F_Worldwide> &F
Worldwide) which had been its main competitor. 

 

In 2009, Pearson acquired Wall Street English for $145m. 

 

In 2010, Pearson acquired the school learning systems division of Sistema
Educacional Brasileiro (SEB) for $497m. 

 

In 2010, Pearson sold its 61% stake in Interactive Data to investment funds
managed by Silver Lake Partners
<https://en.wikipedia.org/wiki/Silver_Lake_Partners>  and Warburg Pincus
<https://en.wikipedia.org/wiki/Warburg_Pincus>  for $2 billion. 

 

In July 2011 Pearson announced the creation of Pearson College
<https://en.wikipedia.org/wiki/Pearson_College_(UK)> , a British degree
provider based in London and Manchester. Also in 2011, Pearson acquired
Connections Education and agreed to sell its 50% stake in FTSE International
Limited to the London Stock Exchange for £450 million. 

 

Pearson entered into talks with rival conglomerate Bertelsmann
<https://en.wikipedia.org/wiki/Bertelsmann> , over the possibility of
combining their respective publishing companies, Penguin Group
<https://en.wikipedia.org/wiki/Penguin_Group>  and Random House
<https://en.wikipedia.org/wiki/Random_House>  in October 2012. The houses
are considered two of the "Big Six" publishing companies. On 29 October
2012, Pearson said it would merge Penguin Books
<https://en.wikipedia.org/wiki/Penguin_Books>  with Bertelsmann
<https://en.wikipedia.org/wiki/Bertelsmann> 's Random House to create the
world's biggest consumer book <https://en.wikipedia.org/wiki/Book>
publisher. 

 

In May 2012 Pearson announced its acquisition of Global English Corporation
<https://en.wikipedia.org/wiki/GlobalEnglish> , a Silicon Valley
<https://en.wikipedia.org/wiki/Silicon_Valley> , California Business English
<https://en.wikipedia.org/wiki/Business_English>  software and solutions
company, in an all-cash transaction. 

 

2013 to present

 

In May 2013, Pearson announced a new restructuring plan to invest in digital
learning and emerging markets, after predicting weaker earnings. 

 

The change supports the decoupling of the Penguin consumer publishing
business into a separate entity with Random House (forming Penguin Random
House). The new structure combines the separate education companies, Pearson
International and Pearson North America under one Pearson company. Pearson
will organize around three global lines of business – School, Higher
Education and Professional. The Financial Times Group and Pearson English
will form part of Pearson Professional. 

 

In July 2014, Pearson announced it had cut 4,000 jobs, representing 10% of
the company's workforce. 

 

Pearson announced on 23 July 2015 that it had agreed to sell the FT Group,
which includes business daily Financial Times
<https://en.wikipedia.org/wiki/Financial_Times> , to Japanese media group
Nikkei <https://en.wikipedia.org/wiki/Nihon_Keizai_Shimbun>  for £844
million, or $1.32 billion. The sale does not include FT Group's London
property at One Southwark Bridge. In August 2015, Pearson's sold its 50%
stake in The Economist <https://en.wikipedia.org/wiki/The_Economist>  to the
Agnelli <https://en.wikipedia.org/wiki/Agnelli>  family for £469 million who
previously held 4.7% of the group;. The remaining 50% of The Economist Group
is owned by the Schroders <https://en.wikipedia.org/wiki/Schroders> ,
Cadburys <https://en.wikipedia.org/wiki/Cadbury_family>  and the Rothschilds
<https://en.wikipedia.org/wiki/Rothschild_family> . 

 

Operations

 

Pearson is now organised into three main business groupings: Pearson School,
Pearson Higher Education and Pearson Professional (includes Financial Times
Group and Pearson English). In 2011 Pearson generated total revenues of £5.9
billion, of which £4,390 million were from Pearson Education, £1,045 million
from Penguin Group, and £427 million from Financial Times Group. In 2011,
60% of Pearson's revenues were generated in North America, 23% in Europe,
11% in Asia, and 6% in the rest of the world. 

 

Pearson School

Pearson School was created when the School businesses from Pearson
International and Pearson North America were merged in 2013. They provide
textbooks and digital technologies to teachers and students across school
ages. Pearson's school brands include BTEC, Bug Club, Edexcel, Fronter,
GradPoint, Schoolnet, and SuccessNet.

 

Pearson Higher Education

Pearson Higher Education was created when the Higher Education businesses
from Pearson International and Pearson North America were merged in 2013.
They provide textbooks and digital technologies to teachers and students
across Higher Education. Pearson's higher education brands include eCollege,
Mastering/MyLabs and Financial Times Publishing.

 

Pearson Professional

Pearson Professional includes Pearson English and Pearson VUE.

 

Pearson English provides textbooks, digital technologies and education
services to teachers and students across English-language learning. Pearson
English is made up of:

 

– Pearson ELT (English language Teaching): English language textbooks and
e-learning

– Pearson English Business Solutions (formerly Global English): English
language e-learning for large corporations

– Wall Street English: English language schools for business professionals

 

Pearson VUE is a provider in electronic testing for regulatory and
certification boards. It delivers certification testing in over 150
countries. It is the world leader in computer based assessment testing.

 

The Financial Times (FT Group) formed part of this Pearson division until it
was sold off to Nikkei.

 

Criticism

Concerns exist around the amount of influence Pearson, a for-profit company,
has on public education. Other concerns are around the multi-million dollar
contracts, and in one instance, laying off teachers to offset the high costs
of testing. 

 

United Kingdom

Pearson owns Edexcel <https://en.wikipedia.org/wiki/Edexcel> , an education
and examination board.  Edexcel has produced qualifications which link to
Pearson texts, although Edexcel also continues to endorse textbooks
published by other companies. 

 

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