Pomona College is in discussions to acquire Claremont Graduate University (CGU) as CGU navigates financial difficulties. This move is part of a broader strategy for CGU to secure its future. Both institutions belong to California’s Claremont Colleges consortium and might finalize a preliminary agreement soon.
A spokesperson for Pomona noted, “CGU is working on its long-term viability and we cannot comment further.” Similarly, CGU officials have been cautious. They confirmed they are exploring various potential partnerships as part of their strategic planning. Patricia Easton, CGU’s vice president of strategy, emphasized the need for accurate information, stating, “We will share updates when appropriate.”
CGU has sought a partner since at least April 2024. They reached out to consulting firms to identify potential allies. Easton explained that after much discussion, CGU decided it could not sustain itself as a standalone graduate institution.
In January, a consulting firm contacted over 100 possible partners for CGU, including Arizona State University and Loyola Marymount University. Now, Pomona College appears to be the most promising option.
Despite their financial hardships, the acquisition talks are progressing. CGU has faced continuous deficits for over a decade and is projected to incur an operating loss of nearly $8.7 million in fiscal year 2026. In contrast, Pomona, which boasts an endowment close to $3 billion, has also experienced financial pressures. In a November statement, officials mentioned concerns over federal funding changes, inflation, and increasing operational costs, leading to a five-year financial reallocation program.
Mergers like this typically require regulatory approval, so while talks are underway, official changes will take time.
In terms of financial challenges in higher education, a recent report from the National Center for Education Statistics suggests that many universities are grappling with similar issues, especially post-pandemic. Institutions are cutting back on programs and seeking partnerships to stay afloat. As we move forward, this evolving situation highlights the need for strategic collaboration in the academic world.
For more detailed insights into the state of higher education finances, you can visit NCS.
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