Lackawanna College plans to merge with a school in Philadelphia, leaders of both schools announced today.
The merger with Peirce College, a provider of adult online education, will make the school the largest private, nonprofit open enrollment college in the state, according to college leaders. Open enrollment means students can enroll without SAT scores or a minimum GPA requirement.
Pending the required approvals, Peirce will merge into Lackawanna, becoming a singular institution under the Lackawanna College name.
“This is a merger of opportunity, of innovation, of growth,” said Lackawanna President Jill Murray, who will remain president after the merger. “It really is a story of better together, stronger together and growing together.”
Peirce, established in 1865 to provide education for soldiers returning from the Civil War, has just under 1,400 students, who are predominantly women of color. Their average age is in the mid 30s, and most enter Peirce with prior college credits.
Lackawanna, founded in 1894 as a business college, has about 2,100 students – many of them the first in their families to attend college.
The merger will expand opportunities for both current and future students, said Mary Ellen Caro, president and CEO of Peirce.
“This is not a merger that occurred because of financial difficulty. This is proactive, where we looked at the market, we looked really at what we could bring to the table, and said, ‘Hey, we really could be better, bigger and stronger together,’” she said. “So we come to the table with respective assets and capability that we feel will empower us together to sustain our missions.”
Trustees from both schools have approved the merger. The Middle States Commission on Higher Education and state and federal departments of education must also approve the plan before it can become official July 1, 2025.
The merger comes as higher education faces numerous challenges, including rising costs and fewer students attending college. In Northeast Pennsylvania, Clarks Summit University announced its closure July 1. Keystone College, financially struggling for years, hopes to find stability with a yet-to-be-named partner.
Lackawanna enrollment has increased consistently over the years, as the school has expanded programs. The college had predominantly offered associate degrees in the past, but a growing number of students receive bachelor’s degrees from the school based in Scranton with six other locations in Central and Northeast Pennsylvania.
The most recent IRS Form 990 tax filings, for the fiscal year that ended June 2023, show Lackawanna had $39.4 million in revenue – $3.6 million above expenses. Peirce, with $21 million in expenses, spent $3.8 million more than its revenue.
Murray said the merger provides stability for both Lackawanna and the Peirce legacy.
“This is such a proactive, effective combining of people and talent and resources,” Murray said.
Lackawanna will have a physical presence in Philadelphia, including in the current Peirce offices at 1608 Walnut St., Murray said. Lackawanna’s offerings will include Peirce’s online master’s degrees.
Over the next few months, the colleges will evaluate staffing needs. Caro and Murray said the schools hope to keep as many employees as possible.
“We serve the people of the regions we live in and reside in, and we're a force for social and economic development and social and economic impact, and that's what we're going to continue to do,” Murray said. “To be fortunate enough to expand into the Greater Philadelphia region … it's a wonderful gift.”
