Fenwick & West LLP represented its client Chegg, Inc., the leading online textbook rental company, in its recently announced acquisition of Cramster, Inc., the leading online study community made up of college and high school students, teachers, professors, parents and subject matter experts who contribute information in nearly all subjects to a vast collection of study resources, including expert Q&A help, textbook solutions, practice tests and problems, study groups and more.
“Cramster shares Chegg’s commitment of empowering college students while saving them time and money, and helping them get smarter. This acquisition is an important part of Chegg’s desire to provide added value for college students,” said Dan Rosensweig, President and CEO of Chegg.
“We are pleased to have represented Chegg through this transaction that represents a significant milestone in the company’s vision of delivering more value to students,” said David Bell, partner in Fenwick’s Mountain View office and leader of the team that advised Chegg. “I am proud of our team’s hard work and dedication to complete this deal that was of critical importance to Chegg.”
Financial terms of the transaction were not disclosed. Chegg’s press release, including additional information regarding the company and the transaction are available on PR Newswire.
The Fenwick & West transaction team was led by corporate partner David Bell, and also included corporate associates Shulamite Shen White and Amna Latif; executive compensation and employee benefits partner Blake Martell and associate Elizabeth Gartland; technology transactions associates Morgan Fong, Genelle Ng and Ranjit Narayanan; and tax associate Timothy Fitzgibbon.
Chegg launched its Netflix-like textbook service in 2007 and now the company services students at over 6,400 universities and community colleges across the country. With just a few clicks, Chegg students rent as many textbooks as they like; books are delivered in less than a week, and students save money off their textbook bill. In addition, students support the environment when they use Chegg.com; the company plants a tree for every time someone rents through a partnership with American Forests’ Global ReLeaf program. This is the company’s second acquisition following the acquisition in August 2010 of course scheduling tool, CoureRank, to help students manage and plan their academic careers.
About Fenwick & West
Fenwick & West provides comprehensive legal services to technology and life sciences clients of national and international prominence. The firm is ranked by Bloomberg as one of the top 10 M&A legal advisors in the U.S., by Thomson Reuters as one of the Top 10 most active U.S. M&A legal advisors based on deals valued at up to $500 million and by Mergermarket as one of the top 3 M&A Advisors in North America—for the Technology, Media and Telecom industries.
David A. Bell
Partner, Corporate Group