2U Says That It Has $140 Million In Cash and It Won’t Cease Operations

IBL News | New York

2U said in a blog post last Friday that it had $140 million in cash to support its operations and is not considering ceasing operations or ending programs for students.

The company said that it is encountering “unfounded attacks from special interest groups seeking to harm our business and scare our partners and students.”

“Currently, these groups are citing our efforts to manage our balance sheet challenges as a pretext to amplify their attacks.”

“These groups’ recent predictions, that 2U is on the verge of an imminent shutdown, are unequivocally false and represent a blatant attempt to confuse students and the public.”

2U argues that its commitment to continue operations is supported by the “high graduation and completion rates” of its partners’ programs.

The stock of 2U has been below $1 since January 10, 2024, signaling to the markets that the company was in huge distress. The stock price has lost 93% in the last year. Currently, the market capitalization is $31 million.