Capella University was founded by a former chief executive of the toy company Tonka, and it taught working adults entirely online. Most students were mid-career and pursuing master's and doctoral degrees in business, education, psychology and nursing. Capella was regionally accredited, which mattered to employers and students alike. When it went public in November 2006, online higher education was growing fast and drawing new investor interest.

The Graduate School of America

Stephen Shank founded Capella in 1991 as The Graduate School of America. The bet was that adults with jobs and families would pursue advanced degrees if they could study on their own schedule. Capella built its programs online from the start instead of adapting a campus model. It later added competency-based programs that let students move at their own pace.

Merged With Strayer

Capella priced its IPO at $20 a share in November 2006 on the Nasdaq. Enrollment grew for several years, then slowed under tighter federal rules for for-profit schools. In 2018 Capella merged with Strayer Education, and the combined company became Strategic Education. Capella University still operates alongside Strayer University. It remains one of the largest online universities in the country, with students from every state and many countries.

Cover: The Fates Gathering in the Stars, Elihu Vedder. Art Institute of Chicago, public domain. Chosen for the fates among the stars (Capella, a bright star).