Temple University will not acquire University of the Arts, which closed abruptly in June, backing off a potential merger opportunity, officials announced last week.
“After an exhaustive effort by our internal and external team, we were unable to identify a solution that would be in the best interest of Temple’s community and mission,” Temple leaders wrote, adding that the university “will not be moving forward with a transaction at this time.”
The statement noted 330 former and prospective UArts students had enrolled at Temple.
The announcement came one day after bondholders demanded UArts immediately repay $51.6 million in debt, according to a public filing. While the institution’s leaders cited financial issues and “unanticipated expenses” as the reasons for its closure, the details remain vague.
The UArts board and administration have faced criticism for the abrupt shutdown, which resulted in the last-minute cancellation of an information session for students, prompting accreditors and other authorities to step in to fill the void. The closure process is being led by a management firm.
In the aftermath of Temple’s announcement, United Academics of Philadelphia—which represents unionized faculty and staff at the University of the Arts—released a statement calling for board leaders to negotiate severance, as legally required, despite the sudden shutdown.
“UArts Faculty and Staff Union members, along with the UArts community as a whole, continue to mourn the loss of this historic institution and deserve long-overdue answers, accountability, and contract adherence from the UArts Trustees whose actions precipitated this catastrophe,” the United Academics of Philadelphia wrote in a statement.
