Over the last 12 months, Skillsoft’s share count-adjusted stock price has plunged by roughly 72%, marking one of the steepest declines in the Technology Services sector. This drop has outpaced the broader sector’s average decline of 35% over the same period and reflects mounting concerns about subscription growth, margin pressures and elevated leverage following the 2021 acquisition of Global Knowledge.

Management has publicly explored a sale of the Global Knowledge training unit, which accounted for approximately 30% of Skillsoft’s last reported fiscal revenue. Analysts estimate that a divestiture could generate proceeds in the range of $150 million to $200 million, helping to reduce total debt of about $850 million and improve the company’s debt-to-EBITDA ratio, currently near 5.2x.

Skillsoft’s flagship Percipio platform, powered by AI-driven recommendations and adaptive learning paths, reported year-over-year user engagement growth of 18% in the most recent quarter. The firm signed over 120 new enterprise customers during that period, with enterprise ARR (annualized recurring revenue) rising to $220 million, up from $185 million a year earlier.

With a current enterprise value to EBITDA multiple of approximately 5.5x—well below the 9x sector median—Skillsoft presents a potentially attractive value play for investors focused on turnaround opportunities. Key catalysts include successful completion of the Global Knowledge sale, further margin expansion through cost rationalization, and sustained uptake of AI-led learning solutions.