2U, Once a Giant in Online Education, Files for Chapter 11 Bankruptcy

Online education company 2U filed for Chapter 11 bankruptcy protection and is being taken private in a deal that will wipe out more than half of its $945 million debt. 2U was a pioneer in the online education space, joining with schools including the University of Southern California, Georgetown University and the University of North Carolina at Chapel Hill to design and operate online courses in fields including nursing and social work. But it struggled in recent years amid new competition and changing regulations. It also had a highly leveraged balance sheet with looming loan-repayment deadlines.